Home / Forex & Currency Exchange News / EUR/USD Flat Despite Volatility Caused by FOMC Minutes

EUR/USD Flat Despite Volatility Caused by FOMC Minutes

EUR/USD demonstrated volatility after the Federal Open Market Committee released minutes of its latest policy meeting. Yet despite the volatile moves, the currency pair was trading almost flat as of now. The notes showed that FOMC members were in favor of gradual reduction of monetary accommodation, but they gave no hints about timing of additional interest rate hikes.

Factory orders fell 0.8% in May, more than in the previous month (0.3%) and than was predicted (0.5%). (Event A on the chart.)

FOMC released minutes of its June policy meeting today. The notes showed that the Committee member were in favor of reducing monetary accommodation:

In their discussion of monetary policy, participants generally saw the outlook for economic activity and the medium-term outlook for inflation as little changed and viewed a continued gradual removal of monetary policy accommodation as being appropriate.

The minutes then added:

Participants generally reiterated their support for continuing a gradual approach to raising the federal funds rate.

FOMC members also discussed reduction of Federal Reserve’s balance sheet and explained details of the reduction in a special addendum. (Event B on the chart.)

If you have any comments on the recent EUR/USD action, please reply using the form below.

Posted on Forex blog. Click Here For Original Source Of The Article

About Louie Lewis

Louie Lewis
Successful forex trading starts with you first. Then comes the actual strategies and techniques. I have been involved with forex and forex trading for a few years now. It is a wonderful way to build wealth. The learning never stops and I want to help others along their journey into this wonderful market of opportunity.

Check Also

Comfortably Numb: Surviving the Assault on Silver

Comfortably Numb: Surviving the Assault on Silver

By The Gold Report Source: Michael Ballanger for Streetwise Reports   10/15/2017 Precious metals expert Michael Ballanger discusses the current state of the precious metals markets. In the late 1960s and most of the 1970s, an English rock band named Pink Floyd dominated the world of progressive and psychedelic music with such memorable albums as “Dark […]

Leave a Reply

Your email address will not be published. Required fields are marked *

css.php