End Of Economic Fears In The USA? | US Durable Goods Orders market strong business demand | FxPro

EURGBP Testing Key Resistance at 0.87 After Triangle Breakout

US durable goods orders added 0.4% in April after rising 0.6% a month earlier, slightly weaker than the 0.6% increase expected. Excluding transportation, orders rose by 0.3% in April, following a 1.1% increase a month earlier. This series shows steady growth, easing fears of an impending US recession.

US Durable goods orders market strong business demand - 1

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Companies and people tend to avoid making expensive purchases in anticipation of tough times ahead, so durable goods orders are considered one of the leading indicators of the economic cycle.

This indicator points to the resilience of business demand, which is outperforming inflation with a 12.1% y/y against 8.3% y/y inflation. Such data is supportive of the Dollar reducing speculation that the Fed will cause a recession soon with its rate hikes.

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EURGBP Testing Key Resistance at 0.87 After Triangle Breakout

Alex Kuptsikevich

Financial market professional with 16-years' experience and Senior financial analyst at FxPro. Author of daily reviews on the impact of economic events with comments regularly featured in top international and Russian media. Covers fundamental analysis, global markets, foreign exchange market, gold, oil, cryptocurrencies.

Alex Kuptsikevich is a regular contributor to both digital and print media including CNBC, Forbes, Reuters, MarketWatch, BBC and Coindesk.