Jane Foley, Senior FX Strategist at Rabobank, notes that during the month of July, EUR/USD remained within a fairly tight 1.1575 to 1.1791 range, centred on an average of 1.1686 but overall, they continue to favour the USD over the EUR in the coming months. Key Quotes “We see scope for a firmer tone in EUR/USD in the second half of 2019 assuming the ECB has embarked on its rate hike cycle by then.” “It is often the case that market participants are biting their nails ahead of a Fed meeting. Today’s offering from the FOMC, however, is not expected to offer much in the way of new news. The markets is almost fully priced for a September rate hike and today’s announcement is merely expected to re-affirm the Fed’s hawkish guidance.” “The USD has found significant support from interest rates differentials this year. The sharp drop in the value of EUR/USD back in June was triggered by the policy statement from the ECB and specifically its guidance that interest rates are set to remain at present levels “at least through the summer of 2019″.” “Last week, the EUR softened again on a confirmation by ECB President of this dovish guidance. That said, there was also good news for the single currency last week by way of a softening of the rhetoric on trade wars between the US and the EU.” “Looking ahead, the evolution of relations between the US and the EU on trade will continue to have strong implications for investor confidence.” “Given the risks of further capital outflows from emerging market, we retain a positive medium-term view of the USD and see the potential for a move down towards 1.14 on a 6 month view. We expect a stronger performance for EUR/USD in a 12 to 18 mth view.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next Brazil: BCB to keep rates on hold at 6.50% – Nomura FX Street 5 years Jane Foley, Senior FX Strategist at Rabobank, notes that during the month of July, EUR/USD remained within a fairly tight 1.1575 to 1.1791 range, centred on an average of 1.1686 but overall, they continue to favour the USD over the EUR in the coming months. Key Quotes "We see scope for a firmer tone in EUR/USD in the second half of 2019 assuming the ECB has embarked on its rate hike cycle by then." "It is often the case that market participants are biting their nails ahead of a Fed meeting. Today's offering from the FOMC, however, is not… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
