EUR/USD remains above 1.1100 as cash flow remains under pressure ahead of the Fed’s policy decision at 18:00 GMT.
The European Central Bank’s Villeroy believes policy reforms will continue. Monetary policy release. The US dollar (USD) remains under pressure as key pairs gain as the Federal Reserve plans to cut interest rates for the first time in more than four years. The recovery remains around 101.00, with better US retail sales data for August supporting the recovery.
Market participants are growing confident that the Fed will begin an aggressive policy easing cycle, while officials say they are still concerned about the slow pace. They also believe inflation has fallen to the bank’s 2% target. -5.00% is 65%, with the rest supporting a 25 basis point cut. The impact of a press conference where Fed Chair Powell will provide new information on interest rates. The Fed’s dot plot gives policymakers a look at the medium- and long-term path of federal revenue.
Underperformance for other major profits, money lost. The euro is under pressure amid growing uncertainty about the path of the European Central Bank’s (ECB) interest rate hikes and the performance of the eurozone economy. On Friday, François Villeroy de Galhau, a member of the European Central Bank’s Executive Committee and president of the Bank of France, said that despite Thursday’s dovish decision, further rate cuts would be needed to avoid stagnating inflation. At Wednesday’s Asia conference, Villeroy said the ECB “could cut interest rates further.” It will take a few months to get a clearer picture before taking the next step, Reuters reported.
Casimir stressed that the risk price must continue to fall accordingly. As expected, “otherwise lawmakers will regret their rush to cut mortgage rates earlier,” inflation continues. “On the eurozone calendar (October or December), Eurostat will publish the final reading of the Harmonized Index of Consumer Prices (HICP) at 09:00 GMT; this reading should be based on a preliminary annual inflation forecast of 2.2% and the main budget 2.8%.
Technical Analysis: EUR/USD remains above 1.1100
EUR/USD remains above 1.1100 during the European session. The main results gained strength after a repeat of a channel chart pattern that progressed near the 1.1000 psychological level on the daily time frame. The outlook for big gains strengthened as the asset is well above the 20-day exponential moving average (EMA) that is trading near 1.1060. around 60.00. If the above conditions are met, big strength will emerge. On the downside, the 1.1000 psychological price and the July 17 high near 1.0950 will be a significant support area.
