Currencies trading and the euro. The price of euro showed steady growth against the background of the successful negotiations between Prime Minister of Greece and the German chancellor, who agreed to do everything possible to prevent a situation where Greece will be left without money. At the same time, the data on the housing market in the US disappointed investors. Thus, the number of new home sales fell to 481 thousand in March, compared with an expected 514 thousand. The construction sector has a strong impact on the labor market and the country's GDP as a whole. Today the dynamics of trading will depend on the statistics on the index business sentiment in Germany (08:00 Germany) and orders for durable goods in the US (12:30 GMT). The program of quantitative easing will put pressure on the quotes of euro and in this regard, we keep the medium-term negative outlook.
Currencies trading and the British pound. The price of the British pound rose yesterday amid a weakening US dollar after have been published weak data on the housing market in America. This fact neutralized the negative effect of the fall in retail sales in the UK by 0.5%, compared with an expected growth of 0.4%. Today, the course of trading will be affected by the data from the US, as well as the dynamics of the euro. According to our estimates, the volatility will decrease and at the end of the trading session, we can see the fixation positions before the weekend. Our medium-term outlook remains negative.
Currencies trading and the Japanese yen. The Japanese yen strengthened against the background of weak data on the US housing market. In addition, the number of initial claims for unemployment benefits in the US rose by 1 thousand to 295 thousand. This fact was able to neutralize the negative statistics on the manufacturing PMI in Japan, which fell below the level of 50.0, which means a reduction in the sector and reached a level of 49.7. Today was published statistics on the index of business activity in Japan in February, which unexpectedly rose by 0.1%, against an expected decline in prices by 0.9%. Our medium-term outlook remains negative due to the difference in the monetary policy of the Bank of Japan and the Federal Reserve.
Currencies trading and the Australian dollar. The price of the Australian dollar strengthened due to falling US dollar. The main factors that influence the investors' expectations for the Australian currency are data on the labor market of the country, the expectation of lowering interest rates of the Reserve Bank of Australia, and prices on iron ore and other export commodities. We see no reason to change the negative trend on the Australian dollar and maintain the medium-term negative outlook.
Currencies trading and the New Zealand dollar. The price of the New Zealand dollar fell yesterday after the statement made by the Reserve Bank of New Zealand, who said that the stimulating monetary policy will continue for a considerable period of time, which indicates that interest rates will not rise in the medium term. The fall of the US dollar has not been able to change investor sentiment and, according to our forecasts, the downward price movement will continue in the near future.