Pound acts as a locomotive for the market
On Tuesday, February 23, at the end of the day, the euro/dollar pair closed with a slight decline. The euro fell 0.03% to 1.2150. In the European session, the euro fell to 1.2135. All attempts to resume buyer growth were made due to the fall in the euro/pound pair.
Pound/dollar pair rose to 1.4114. Shoppers are betting on reviving the UK economy because of successful vaccinations. Prime Minister Boris Johnson unveiled on Monday a plan to phase out the current blockade in the UK. The pound is receiving additional support from the fact that the Bank of England will not introduce negative interest rates for the time being.
Scheduled Statistics (GMT) 3:
At 6:00 p.m., the United States will report a change in sales of new buildings in January. Us Federal Reserve Chief Jerome Powell will give a speech.At 6:30 p.m.m.S. Department of Energy will release data on oil reserves.
On Wednesday, February 24, in asian trade the main currencies are traded in a positive area. On the plus side is the pound (0.54%) and the New Zealand dollar (0.50%). The Briton strengthened 1% versus the dollar to 1.4241. The morning rally triggered a halt in the euro/pound’s long positions below 0.8600. The price fell to 0.8539 (-63 points).
NEW YORK The dollar strengthened to .7384. The increase in quotations was facilitated by the decision of the Reserve Bank of New York. The regulator left monetary policy unchanged. The Committee agreed that monetary policy should remain stimulated until inflation remains stable at 2%. The economic outlook remains uncertain.
Euro costs 1.2156. Given the GBP and N’D morning rally, there is a high probability that the euro/dollar pair will rise to 1.2185. The bet is on the recovery of the cross-pair euro/pound after the fall. Buyers must skip level 1.2167 as soon as possible and then further promotion up will go like clockwork.
U.S. Senate Majority Leader Schumer said a $1.9 billion stimulus package would be passed by March 14 (positive for risky assets). Powell speaks before the House of Representatives Financial Services Committee today.