EURUSD has corrected a little bit and is waiting for new information.
The major currency pair remains quite sensitive, which is logical in anticipation of the US Fed meeting. The current quote for the instrument is 1.1736.
The “greenback” is currently supported by several factors and that’s rather unusual. The major driver is another session of the US Federal Reserve System, which is starting today and will be over tomorrow. After the USA published some strong statistics on the retail sales in August, market players have high expectations that the regulator might be quite firm and decisive this time and announce an earlier reduction of its QE program. Everyone on the market wants to hear some specific and detailed comments on the matter.
Apart from that, the USD is in demand as a “safe haven” asset: China's Evergrande group possible default risks spook Asian and then global markets in Europe and the USA, so the “greenback” hit stride.
The American currency is strengthening right now because risky assets got under pressure. It’s quite logical but not for long.
Later today, one should pay attention to the Building Permits and the Housing Starts in the USA for August.
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.