What Moves A Pair – EURO (EUR)

The purpose of this chapter is to show you the economic releases and news events that affect a currency pair, what to look for and how to interpret them. I will take four currencies, euro, usd, gbp and aud and will discuss each of them separately.

The euro currency related pairs are highly influenced by the following, in the order of their importance:
interest rate decision;

European Central Bank (ECB) press conference that follows the interest rate decision;
GDP (gross domestic product);
German ZEW Economic Sentiment;
German IFO Business Climate;
PMI Services (purchasing managers index);
PMI Manufacturing;
unemployment rate;
consumer confidence;
CPI (consumer price index);
industrial production;
other: Eurogroup meetings, official speeches by ECB members, bond auctions; EU Summit, etc

These are the main economic events in Europe that you should be aware of and they are being repeated on a monthly basis, with a pre-defined schedule approved. This is not necessarily the order of their importance regarding the economic developments in a region, but it is mainly their classification based on how currency pairs usually react to these releases.