Euro Rally Extends as German Greens Eye Defense Spending Deal This Week
| Action Insight Mid-Day Report 3-11-25 |
Euro Rally Extends as German Greens Eye Defense Spending Deal This Week |
Euro's rally continues after a brief pause, boosted by signs of political breakthrough in Germany over major defense and infrastructure spending. Consensus appears to be emerging around the large-scale funding deal, a game-changer toward bolstering Europe’s economic and defense resilience, especially amid ongoing geopolitical conflicts in Ukraine. Germany’s Green party is reportedly prepared to reach an agreement as early as this week with prospective Chancellor Friedrich Merz of CDU/CSU. Greens co-leader Franziska Brantner indicated in a Bloomberg TV interview that negotiations could move quickly, citing the urgent need for Europe to "speed up" its defense capabilities given the "dire" situation in Ukraine. An influx of hundreds of billions of Euros in spending could act as a significant stimulus for the German economy, thereby supporting the broader Eurozone...... |
EUR/JPY Mid-Day Outlook Daily Pivots: (S1) 158.86; (P) 159.62; (R1) 160.35; More... EUR/JPY's rally resumed by breaking through 161.25 temporary top and intraday bias is back on the upside. Rise from 154.77 is seen as another rising leg in the consolidation pattern from 154.40. Next target is 164.89 resistance. For now, further rise is expected as long as 158.87 support holds, in case of retreat. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 21:45 | NZD | Manufacturing Sales Q4 | 2.60% | -1.20% | 0.20% | | 23:30 | AUD | Westpac Consumer Confidence Mar | 4.00% | 0.10% | | 23:30 | JPY | Overall Household Spending Y/Y Jan | 0.80% | 3.60% | 2.70% | | 23:50 | JPY | GDP Q/Q Q4 F | 0.60% | 0.70% | 0.70% | | 23:50 | JPY | GDP Deflator Y/Y Q4 F | 2.90% | 2.80% | 2.80% | | 23:50 | JPY | Money Supply M2+CD Y/Y Feb | 1.20% | 1.40% | 1.30% | | 00:30 | AUD | NAB Business Confidence Feb | -1 | 4 | 5 | | 00:30 | AUD | NAB Business Conditions Feb | 4 | 3 | | 06:00 | JPY | Machine Tool Orders Y/Y Feb P | 3.50% | 4.70% | | 10:00 | USD | NFIB Business Optimism Index Feb | 100.7 | 101 | 102.8 |
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