Global macro overview for 31/12/2015:
TThe US pending home sales data was released yesterday and they came in worse than market had expected. According to the National Association of Realtors, the pending home sales index fell 0.9% to 106.9, compared with a 0.5% gain expected by market participants.The decreases in recent months could indicate slower growth in buying homes in 2016, because the pending home contracts become sales after a month or two so anyone willing to buy a house should be in hurry as the Fed is starting to raise interest rates gradually. This would mean, the mortgage rates will follow the Fed’s actions soon, but for now they have only inched higher since the Fed hiked the benchmark rate.This kind of events might suggest that the growth in the housing market may be cooling.
The EUR/USD pair is slowly trading in the middle of a range during the last day of 2015. The next support is seen at the level of 1.0795 and the next resistance is seen at the level of 1.1012.
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