The euro continued its decline today, with the last trading days of this week, against the background of the US dollar maintaining its bullish momentum, as data from the German Statistics Office showed in the first hours of trading today, Friday, that the economy did not achieve any growth in the second quarter compared to the previous quarter of the year after Exposure to recession in the winter. Adjusted gross domestic product also contracted 0.2 percent year-on-year in the second quarter, with the Bundesbank expecting economic output to remain largely unchanged again in the third quarter, according to a monthly report published on Monday.
In terms of European stocks, European stocks fell in the early trading of the day, with sentiments of caution prevailing over investors before the statements of the heads of major central banks at the Jackson Hole Symposium in the United States, while the rise in bond yields continued to put pressure on stocks, yet it seemed destined to record its first weekly gain since four weeks, up 0.61%.
Meanwhile, the euro extended its losses below $1.08, reaching its weakest level since June 12, as weak economic data from Europe reinforced expectations that the European Central Bank may soon stop raising interest rates. The morale of German companies also recorded weakness for the fourth time in a row, reaching its lowest level in ten months, stable in trading below 1.09400 levels, as well as trading below the moving averages for a period of 20 and 50 days, which crossed negatively over the medium-term intervals, so it is likely that the selling pressure will continue on the euro. To direct this to target the support levels around 1.06375.
