08 November, 2018
EUR/USD tried to stabilize on Thursday after falling overnight to a session low of 1.14207. The pair retreated yesterday from its multi- week high of 1.14999 as markets settled after U.S. midterm election results, which came in as expected, leaving investors free to focus on a Federal Reserve’s policy decision later in the global day. The central bank’s Federal Open Market Committee (FOMC) is expected on Thursday to maintain the hawkish language seen in recent policy statements, while keeping interest rates unchanged this time. The Fed has raised rates three times this year as the U.S. economy boomed and inflation started to pick up, and it has signalled a rate rise in December. The euro currency, on the other hand, seems to remain under pressure due to standoff between the EU and Rome over Italy’s budget deficit and concerns over Europe’s slowing economic growth have handicapped the euro, which has lost 4 percent versus the dollar over the last six months. Later today, EU’s Economic Bulletin and Economic Forecast will be released. Later this afternoon US Initial Jobless Claims will be revealed, while tonight (19:00 GMT) US Federal Reserve will announce their latest monetary policy decision.