Euro is paring its earlier losses to the US dollar, and looking to try to find some gains as the US session gets solidly underway. Without economic data, though, many traders are simply still considering last week’s news out of the Federal Reserve.
Last week, the Federal Reserve indicated that its quantitative easing efforts might be coming to an end by the end of 2013. The news gave the US dollar a jolt, especially in a situation where concerns about the eurozone still predominated. Now, though, Forex traders are re-considering, and the euro is getting help from some improved sentiment in the eurozone.
For now, though, the Forex market is being mostly driven by speculation related to last week’s events. The thought that stimulus might end in the United States is having its impact, as is the fact that US politicians are now gearing up for a fight over the debt ceiling.
All the uncertainty has been keeping riskier assets down, but the better news out of Europe is starting to give the euro a little help.
At 15:40 EUR/USD has managed to eke out gains, rising to 1.3081 from the open at 1.3077. EUR/GBP is also a little higher at 0.8136 from the open at 0.8135. EUR/JPY is lower, though, down to 114.9265 from the open at 115.2410.
If you have any questions, comments or opinions regarding the Euro,
feel free to post them using the commentary form below.
