Forex. Euro/Dollar (EUR/USD) forecast for today
The euro/dollar exchange rate declined slightly on Thursday, but could not overcome the important support level of 1.1620.
This behavior of market participants suggests that they do not want to take risks before today's speech by the head of the US Federal Reserve Jerome Powell. In addition, an attempt to gain a foothold in a lower trading range is visible, which indicates the willingness of market participants to buy the US dollar more. At the same time, positive Eurozone statistics on Wednesday failed to strengthen the euro to higher price levels. The auction was also influenced by new fears of the crisis in China's real estate sector.
According to the media, the dollar index is under pressure amid expectations that central banks of other countries will tighten monetary policy at a faster pace. The growth of stock and commodity markets also weakens the demand for safe haven assets.
The yield on 10-year US Treasury bonds rose strongly to the level of 1.70%.
Yesterday, the number of initial applications for US unemployment benefits for the past week was released. The indicator came out better than the forecast, it speculatively strengthened the US dollar against other world currencies.
Friday will be active for trading, France, Germany, the USA and the Eurozone will publish the index of business activity in the manufacturing sector (PMI) and the index of business activity (PMI) in the services sector.