The Fed held a much-awaited meeting yesterday. The bank hasn’t made any policy changes. As a result, the USD weakened and EUR/USD rocketed. Jump in to know all the latest news!
European Central Bank Will Meet on Thursday
What will happen?
The European Central Bank will make its policy statement on July 22 at 14:45 MT (GMT+3). The bank is expected to update its strategy and share its forecast for inflation. The ECB’s new strategy may allow inflation to overrun the 2% goal when interest rates are at record lows. If it is the case, it will signal that the central bank won’t tighten the policy earlier than expected, which will limit the upside potential for the euro.
How to trade on the ECB statement?
- If the ECB hints at any sign of policy tightening earlier than initially thought, the EUR will rise.
- If the ECB claims it would stay ultra-loose for longer, the EUR will drop.
Instruments to trade: EUR/USD, EUR/JPY, EUR/GBP
Today the Fed will make a policy statement at 21:00 GMT+3. This event will affect all the currency pairs with the USD and thus almost the all Forex market!
Hong Kong stock index extended a decline sparked by China’s tech crackdown. Tesla posted better-than-expected results. Jump in!
The Reserve Bank of Australia (RBA) will hold a meeting and announce changes to the monetary policy on August 3, at 07:30 MT time (GMT+3).
What events to follow and how to trade during the week of July 2-6?
EUR/USD retraced to 1.1870 after breaking out this level. It should be just a natural sell-off ahead of the further rally up.