23 Jun 2014
EUR/USD walks around 1.36, ECB dovish comments
FXStreet (Bali) - EUR/USD is trading unchanged around 1.36 after a slow start, which saw the rate initially falling some 10 odd pips to 1.3590, although that disadvantage has been now recovered.
Headlines from ECB's Nowotny and Draghi, which carried a dovish tone, put some small pressure on the Euro. The former said that ECB is unlikely to raise rates until 2016, while Drahi said that QE is an option should inflation expectations over the medium term deteriorate.
According to Jim Langlands, Founder at FXCharts: "More rangebound trade looks likely as long as neither the EU nor the US economies appear to be gaining any real competitive advantage. Suspect we see some short term dollar weakness and then a turnaround as the US economy out performs the EU over H2."
Headlines from ECB's Nowotny and Draghi, which carried a dovish tone, put some small pressure on the Euro. The former said that ECB is unlikely to raise rates until 2016, while Drahi said that QE is an option should inflation expectations over the medium term deteriorate.
According to Jim Langlands, Founder at FXCharts: "More rangebound trade looks likely as long as neither the EU nor the US economies appear to be gaining any real competitive advantage. Suspect we see some short term dollar weakness and then a turnaround as the US economy out performs the EU over H2."