Euro Succumbs to Pressure in Forex Trading

Euro is succumbing to pressure right now in Forex trading, moving lower against its major counterparts. There isn’t a whole lot to support the euro against other currencies, and, in fact, policymakers are hoping for a lower euro.

Economic data is improving in various countries, but the eurozone might still be in trouble. There are expectations for another rate cut, possibly in March. Even though analysts don’t believe that the eurozone is in recession, there are signs that economic growth is slowing. The fact that the euro has been maintaining its strength isn’t helping.

However, with gold prices struggling again after a bump yesterday, and with plenty of comparisons between the eurozone and other economic regions, and with worries about what’s next for the global markets and for the eurozone, it’s no surprise that some are worried that the euro is too strong right now and that a correction is due.

Euro is mostly lower today as Forex traders get a little nervous about the 19-nation currency.

At 14:12 GMT EUR/USD is lower, dropping down to 1.1082 from the open at 1.1130. EUR/GBP is also heading down, falling to 0.7719 from the open at 0.7790. EUR/JPY is down to 126.2200 from the open at 126.6760. EUR/CAD is down to 1.5154 from the open at 1.5257.

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