Global Growth Concerns Drive Dollar Lower

Morning Report: 06.45 London

• This morning, concerns over global growth rates are putting further pressure on the US dollar as the chance of a 2015 rate hike slips back another notch. The dollar index is now down for the fifth day in a row.
                         

• The dollar’s weakness has been great news for the New Zealand and Australian dollars which are bidding higher on the hope that sustained lower interest rates will keep the Chinese engine ticking over.                    

                      
• Elsewhere the euro is under pressure after poor industrial production figures this morning.

Coming up today:

• This morning, we have UK manufacturing production at 09.30.

• This is followed by Canadian building permits at 13.30.

• UK NIESR GDP estimates arrived at 15.00.

• Finally, US crude oil inventories will be interesting given the surge in crude prices yesterday.

Trade Idea:

• The euro is struggling amid a backdrop of slow German growth. The EUR/GBP has held up well recently, but could be due a pull back.

A good way to play this is a LOWER trade predicting that the EUR/GBP closes below 0.7300 in 21 days for a potential return of 167%.

Disclaimer: This financial market report is intended for educational and information purposes only. It should not be construed as investment or financial advice and you should not rely on any of its content to make or refrain from making any investment decisions. The views expressed in this report are those of the author and do not necessarily reflect the views or position of Binary.com accepts no liability whatsoever for any losses incurred by users in their trading. Binary options trading may incur losses as well as gains.