Euro is adding gains after five negative days against the U.S. dollar following the economic growth forecasts. USD/CAD is falling as the Canadian dollar is rising due to a bunch of reasons. The oil prices are globally higher, BoC Governor Stephen Poloz is very optimistic and housing sector expands unexpectedly strong.
Euro Significantly Higher From Positive Forecasts
The euro rose significantly against most of the major currencies on Thursday following the economic bulleting released by the European Central Bank, which was optimistic about the non-performing loans and the profitability of the European banks. The European Commission also released its forecasts for the European economy and boosted the currency. “The euro area economy is on track to grow at its fastest pace in a decade this year, with real GDP growth forecast at 2.2%. This is substantially higher than expected in spring (1.7%). The E.U. economy as a whole is also set to beat expectations with robust growth of 2.3% this year (up from 1.9% in spring). According to its Autumn Forecast released today, the European Commission expects growth to continue in both the euro area and in the EU at 2.1% in 2018 and at 1.9% in 2019 (Spring Forecast: 2018: 1.8% in the euro area, 1.9% in the EU).”
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