Forex: EUR/USD under 1.30

on Jul 15, 2013
Listen Monday July 15th:_ The dollar has generally been climbing against the euro today and late in the European session, with New York well under way, the pair has fallen to a current low for the day at 1.2996, an intraday drop of 0.63 percent to this point.

As yet the euro hasn’t firmed on the news at 13.30 BST that US overall retail sales increased by 0.4 percent in June m/m, to a seasonally adjusted $422.79 billion, but a drop on May’s 0.5 and getting only half-way to expectations for a 0.8 percent rise.
And backing out the auto sector the June number m/m came out flat, versus May’s 0.3 percent rise.

Last week the Dollar Index, which tracks the greenback’s performance against six other majors, recorded its first drop in a month when the Fed’s chairman Ben Bernanke, who is due to front before a Congressional fiscal policy committee this week, signaled that bond buying won’t be dialed back any time soon.
Clifford Bennett, chief economist at Sydney-based financial services firm the White Crane Group, today opined that the US dollar has been overbought and is due a correction of 15 percent over the next 18 months. Bennett believes that this week will see the start of a potential major shift lower in the value of the greenback.
The Eurozone CPI and Core-CPI for June y/y are due to be released at 10:00 BST tomorrow. The index, which covers purchasing and inflation in all 17 Eurozone countries, is expected to increase by 1.6 percent, following May’s 1.4 percent.