Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Forex - EUR/USD tumbles to 6-day low on weak China trade data

Published 03/10/2011, 02:27 AM
Updated 03/10/2011, 02:27 AM

Investing.com – The euro tumbled to a six-day low against the U.S. dollar on Thursday, after unexpectedly poor Chinese trade data fanned fears over a slowdown in global growth while concerns over euro zone sovereign debts also weighed.

EUR/USD hit 1.3805 during late Asian trade, the pair’s lowest since March 2; the pair subsequently consolidated at 1.3825, shedding 0.56%.

The pair was likely to find support at 1.3710, the low of February 28 and resistance at 1.3940, Wednesday’s high.

Earlier in the day, government data showed that China unexpectedly posted a trade deficit of USD7.3 billion in February, it’s largest in seven years, as the Lunar New Year holiday disrupted export activity. China's exports rose only 2.4% from a year earlier, markedly lower than January's 37.7% rise.

Meanwhile, on Wednesday, concerns over the euro zone's sovereign debt problem saw the cost of insuring Portuguese government debt against default soar to a euro-lifetime high, adding to fears that Lisbon will need a bailout.

The euro was also down against the pound, with EUR/GBP shedding 0.35% to hit 0.08553.

Later in the day, the European Central Bank was to publish its monthly bulletin, while the U.S. was to publish a key weekly report on initial jobless claims as well as data on the country’s trade balance.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.