Clean Financial - The Financial Spread Betting Website

Will the Euro Rebound if the FOMC Remains ‘Patient’?

With the FOMC meeting fast approaching, Michael Hewson strikes a cautious tone over the likelihood that the Fed will signal higher rates and points to a possible euro rebound.

  • The US dollar index has rallied by 25% in the last 7-8 months, so will the Fed want to indicate that higher rates are on the horizon?
  • The S&P 500 and the FTSE 100 may see a resurgence if the FOMC statement is more dovish than expected, particularly is the word ‘patience’ remains
  • The EUR/USD pair may be set for a short squeeze towards $1.10 if it can break above $1.0685
  • EUR/GBP has seen a much greater rebound after dovish comments from Mark Carney but wage data may support sterling

 



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