Serj Panchuk
According to the latest report released by Eurostat, the Eurozone’s PPI came out weaker in February. This means that the Producer Price Index continued the decline over the reporting period. Despite the overall decline, some sectors didn’t show any decline in producer prices, Market Leader reports.
Top be more specific, the PPI dropped 4.2% as opposed to the same figures seen in February 2015. The pace at which the prices keep on going down accelerated in February relative to January’s 3.0%. Economists had expected the PPI to drop by 4.0% over the reporting period. However, the actual decline turned out to exceed those expectations.
As for the month-over-month figures, February’s decline was limited to 0.7%. With that being said, the decline slowed down as opposed to January’s 1.1% drop. Still, the 0.7% drop still exceeded the analyst forecast of 0.6%. As for the PPI excluding energy carriers, the year-over-year drop was only 0.8% over the reporting period. At the same time, the PPI dropped only by 0.2% month over month.
FOREX
Meanwhile, the common European currency remains in the mid-term rally against the U.S. Dollar, Masterforex-V Academy experts report. Top be more specific, EURUSD is forming wave A/B of level Daily2 inside the rally. There is a smaller-scale move inside of wave A/B - wave 3/C. The key levels of resistance are 1.1494, 1.1713. Alternatively, a break below MF pivot 1.0821 and the bottom of the ascending MF sloping channel may well put an end to the bullish bias.
Serj Panchuk
