Forex: US factory orders declining

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Factory orders for the month of February have been released in the USA by the US Census Bureau. The announced rate of -0.1% was significantly lower than the 0.5% rate the market expected and the 3.1% rate of January. Following the announcement the EURUSD pair did not demonstrate any significant volatility changes.

The Factory orders figure shows the total orders of durable and non-durable goods. These can involve shipment sales, inventories and orders at the manufacturing level. They can therefore provide an insight into inflation and growth in the manufacturing sector. Usually, a high reading is associated with bullish behavior of the US Dollar while a low reading with a bearish. The EURUSD pair is currently traded at 1.4197.