The Dollar Backed Off From Friday’s Three-Month Highs While The EUR Edged Higher
- Trade Magnates Team
- Oct 30, 2017
- 1 min read
Trade Magnates - The dollar backed off from Friday’s three-month highs against other major currencies on Monday, while the euro moved higher after falling to the lowest levels since July on Friday with the EURUSD trading at 1.1630 after falling to 1.1575 on Friday the worst week for the euro since March.
The EUR suffered losses after the ECB has declared on Thursday that it will extend its bond purchases to September 2018 while reducing its monthly purchases around 50% to 30 billion euros starting in January. Investors expected the downward movement in the EUR as the ECB will most likely start hiking rates by 2019, in addition to the Catalonian situation that is still not settled.
On the other hand, the U.S. Federal Reserve hike prior the end of the year is still expected amid heated speculation on choosing Jerome Powell, Fed Reserve Governor, to be the next Head of Fed Reserve following the current Chair Janet Yellen, whose term ends in Feb 2018. President Trump is expected to choose his nominee this week.
On the US data today, personal income - spending is due along with inflation figures tracked by the PCE.