EUR/USD 30 minutes
The euro is hovering near its lowest level since July 8 as the US dollar gains broadly.
It’s hard to say what’s driving the moves at the moment, but stronger U.S. GDP numbers on Thursday and higher PCE inflation on Friday are tailwinds for the dollar. However, Fed rates haven’t moved much and Treasury yields are lower today (though they’re off their lows).
It’s the end of the month so that’s definitely something to keep in mind and the Nasdaq found good exposure today in a turbulent market.
The European Central Bank has highlighted its dependence on data, which will make it vulnerable to data this week.
Technically, there will be offers at the 1.0800 level but bulls may run away if this level breaks, especially given the increasing strength of the US dollar today. Data-wise, the only release of note today is the Dallas Fed and this is rarely a market mover. I should note that McDonald’s warned today of broad consumer weakness that they expect to last for several quarters.
