EUR/USD: Consolidation mode still in play ahead of FOMC meeting
|The single European currency is held between 1,13 -1,14 levels as investors continue to avoid big bets.
In general, the market picture does not show significant differences with geopolitical events remaining high on the agenda and although the dust has settled, the issue of tariffs monopolizes interest.
The US dollar, apart from some very good correction and temporary recovery below the 1,13 level, is struggling to remain in the spotlight as concerns about President Trump's policies continue to be intense.
As efforts to de-escalate the looming trade war continue with several negotiations underway between the United States and key trading partners, some calm has returned to international financial markets.
Concerns about US debt securities, although they have eased, have not gone off the agenda with the 10y bond yield still hovering near the 4,3 level.
On today's agenda, in addition to Fed meeting, which is certainly monopolizing interest, retail sales in the eurozone also stand out.
The margin for surprises is very small, with all bets in favor of keeping key interest rates at the same levels and any other decision would shock the markets.
I have not changes in my mind and I prefer to remain on hold. Still in play is a probability on the scenario that the consolidation behavior will continue and the exchange rate will maintained for the foreseeable future between 1.11 - 1.16 levels.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.