Forex. Euro/Dollar (EUR/USD) forecast for today.
The currency pair has firmly established itself in a lower trading framework.
The yield of 10-year US Treasury bonds has stopped its growth, and is now at 1.811%.
Maintaining high yields of US Treasuries supports the dollar - the higher the rates, the more attractive the US currency is for buyers. On Wednesday, the yield on ten-year obligations of the US Treasury rose to 1.9% per annum, but by the close of the market it had fallen to 1.869%. On Thursday, it is 1.855%. Despite a slight decline, yields on government securities have been at their highest since February 2020, due to growing expectations of a faster than previously expected tightening of policy by the Federal Reserve System (FRS).
The Fed is expected to raise the base interest rate in March and raise it at least three times in 2022. Some experts believe that the rate hike in March may amount to more than 25 basis points. The next meeting of the Fed will be held on January 25-26, and the market is waiting for "hawkish" comments from the Central Bank's leaders.
Today, the euro/dollar exchange rate will be influenced by important news. The index of leading economic indicators of the United States and the speech of Finance Minister Janet Yellen will be released in the United States.