Trade Desk Thoughts - Euro-Area Current Account

Euro-area Current Account Actual -1.7B, Expected -6.2B, Previous -6.1B (Revised from -8.2B)

Release Explanation: This is a nation's total exports of Goods, Services, and Transfers, deducted from its total imports of them. (Not to be confused with the Trade Balance that looks solely at imported and exported Goods). Current Account Balance calculations exclude transactions in Financial assets and liabilities. It is a comprehensive accounting review of a nation's Global trade that includes the Trade Balance in its figures.

Trade Desk Thoughts: The Euro-area current account was released at -1.7B, much better than analyst expectations of -6.2B. At the same time, the previously released number, for the month of June, was revised lower from -8.2B to -6.1B. The report shows the goods trade deficit widened in July, while the service surplus rose.

Forex Technical Reaction: The Euro rose 30 pips at the time of the release. Since the Asian session started, the euro has traded in an 80 pip range, having the neutral pivot point as the upside resistance. At the same time, the euro fell against the British Pound, but gained 20 pips against the Swiss Franc

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