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EUR/USD eyes 1.2900 ahead of German CPI

FXstreet.com (Barcelona) - The shared currency keeps the buoyancy on Wednesday, paring yesterday’s losses and leaving behind lows in the vicinity of 1.2830 after US better consumer confidence in May.

Against the backdrop of the next ECB meeting, Currency Analyst David Song at DailyFX commented, “The central bank may also purchase Asset-Backed Securities (ABS) in the coming months in order to encourage private sector lending, but the non-standard measure may have a limited impact in lifting the real economy as the region continues to face record-high unemployment along with a slowdown in consumption”.

EUR/USD is now up 0.26% at 1.2886 with the next resistance at 1.2950 (high May 28) followed by 1.2968 (MA21d) and then 1.2994 (high May 24). On the downside, a drop beyond 1.2821 (low May 23) would clear the way to 1.2809 (low May 20) en route to 1.2796 (low May 17).

USD/JPY settles at 101.72/73 support

The USD/JPY has been trading more statically during European trading recently, after falling hard off earlier overnight highs.
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OECD: Global economy is moving forward at multiple speeds

In its biannual Economic Outlook report, published on Wednesday, the Organization for Economic Cooperation and Development reduced the global growth outlook to 3.1% from the previous estimate of 3.4%. It expects the US and the Japanese economies to improve this year, suggesting at the same time that the Eurozone will continue to lag which might have “negative implications for the global economy."
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