Normally the absence of economic news from a given region (think Asia) has little impact on its currency values. That doesn’t seem to be the case today.
Europe’s absence from the economic calendar today is being felt in the form of wider-than-normal swings in value for European-based currencies. Amid a wide bombardment of economic indicators from the United States, Britain, Canada and even Australia, traders are gauging how certain currencies are faring given global conditions at the moment.
But a sudden absence of one of the largest players, mid-week, appears to have unsettled a number of investors. We have seen mildly erratic behavior which some have explained as having to do with the aforementioned economic bombardment, and partially from the kick-off of today’s G7 summit, but indecisiveness seems present as well.
The value of the EUR has come under pressure recently due to an ebb and flow of risk aversion and by simply producing a series of poor data releases. Today’s absence from the market has only given more weight to speculators to toy with market values in an already highly volatile trading session.
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Greg Holden is the Chief Market Analyst at ForexYard. Greg uses his detailed knowledge of fundamental and technical analysis to provide some of the leading market forecasts in the forex world today. A guest lecturer at forex symposiums and Chief Editor of ForexYard's analysis center, Greg brings highly detailed and easy-to-use market analyses to his clientele. He has been published on ForexYard's Trading Blog and affiliate websites. Greg holds degrees in Political Science and Economics from Missouri State University, as well as a Masters degree in Middle Eastern History.
