ECB Signals Rate Cut | US Durable Goods Orders Surge
Published July 25, 2019
At its monetary policy meeting held today, the European Central Bank signaled that it is preparing to cut short-term interest rates for the first time since early 2016 and will possibly restart the QE (quantitative easing) program, a major policy shift in a bid to aid the euro zone’s wobbling economy against international headwinds. The euro was trading higher this morning, at 1.1164 against the greenback.
Data published by the US Census Bureau today revealed that durable goods orders in June increased by 2.0 percent against the market expectation of 0.8 percent, largely driven by demand for commercial aircraft and cars. The US Dollar Index was trading lower this morning, at 97.55 levels.
German business sentiment continued to worsen in July, indicating that the German economy is in difficult waters, the Ifo Institute said on Thursday. The headline German IFO Business Climate Index came in at 95.7 in July against the expectation of 97.1.
US weekly jobless claims decreased by 10,000 to a seasonally adjusted 206,000 for the week ended July 20, the lowest level since mid-April, stated the US Labor Department on Thursday.