What will happen? The FOMC statement will be published at 21:00 MT (GMT+3) on Wednesday, July 28…
Greenback extends early revenues
On Tuesday, the evergreen buck managed to extend early revenues versus a currency basket, thus sending the common currency down, while mixed GDP data along with and political instability put pressure on the UK pound.
Gauging the greenback’s strength versus a group of six key currencies, the USD index rallied by 0.25% being worth 94.04.
The common currency slumped versus the US currency. The currency pair EUR/USD dipped 0.27% to 1.1719 having dived to 1.1691 earlier.
Meanwhile, in the euro zone, Tuesday’s data disclosed that German investor confidence headed south to the lowest value for six years in July due to the fact worries as for another escalation in trade tensions with America affected the economic outlook.
In July, the ZEW index of German investor sentiment inched down to -24.7 versus June’s outcome of -16.1, which is the weakest value since August 2012.
The evergreen buck managed to soar versus the Japanese yen. The currency pair USD/JPY tacked on by 0.33% trading at 111.19, which is the most impressive outcome since May 21.
Demand for the evergreen buck was still backed by hopes for a faster tempo of rate lifts by the key US financial institution in 2018.
The currency pair GBP/USD gained 0.11% being worth 1.3273.
Meanwhile, in May, UK economic surge speeded up to 0.3% from April’s reading of 0.2%.
The report offered rather a mixed picture of the British economy, with mild surge powered by the services sector, partly compensated by sagging construction as well as industrial output.
Some financial analysts are assured that the data will keep Britain’s major bank on track for an August interest rate lift, but others are afraid that political instability might give policymakers grounds to hold off.
The UK pound managed to gain ground versus the softer common currency. The currency pair EUR/GBP dived 0.44% reaching 0.8823.
What will happen? US consumer confidence will be announced at 5:00 MT (GMT+3) on Tuesday, July 27…
The OPEC meeting and the US Nonfarm Payrolls rocked the market last week. The market is torn between optimism about the global economic recovery and concerns about the new coronavirus strains.
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.
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!