The Euro to US Dollar (EUR/USD) exchange rate strengthened by around 0.22% on Tuesday after US consumer confidence failed to increase as much as forecast.
The Euro to US Dollar exchange rate is currently trending in the region of 1.2177.
Euro (EUR) Exchange Rate Holding Steady despite Greek Snap Election
Although the Euro was expected to soften against all of its major peers after Greece opted for a snap general election, the shared currency is holding relatively steady on Tuesday. This is due to a combination of quiet trading and investor uncertainties regarding future European Central Bank stimulus intervention.
European data printed positively on Tuesday although it has had little by way of impact amid quiet trading. Eurozone M3 increased from 2.5% to 3.1% on a yearly basis, eclipsing the median market prediction of a rise to 2.6%. Three-monthly Eurozone M3 increased from 2.3% to 2.7%, beating the market consensus of a rise to 2.5%.
The Euro to US Dollar exchange rate has fallen to a low today of 1.2121.
US Dollar (USD) Exchange Rate Dives on Disappointing Data
The US Dollar is set for the title of best performing currency in the last quarter of 2014, but Tuesday’s consumer confidence data printed disappointingly. This, in turn, has caused the US Dollar to slump versus nearly all of its most traded currency rivals.
US Consumer Confidence was forecast to increase from 88.7 to 94, but the actual result only managed to reach 92.6. In general, however, data is having very little impact on proceedings whilst the currency market is quiet during the holiday period.
Euro to US Dollar (EUR/USD) Exchange Rate Forecast to Trend Higher
With the currency market quiet, and with an absence of data to curb the trend, the Euro to US Dollar exchange rate is likely to continue trending higher for the remainder of Tuesday.
The Euro to US Dollar exchange rate has climbed to a high today of 1.2187.