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16 Sep 2013
Session Recap: USD weaker on Summers news
FXstreet.com (Córdoba) - The US dollar started the week on a weak note after the Lawrence Summers withdrew from the race to head the Federal Reserve.
The news came just 2 days before the FOMC September meeting and leaves Fed's current vice chairman, Janet Yellen, as the clear front-runner for the job who is expected to take a more gradual approach to tightening monetary policy. Meanwhile, Signs of progress in Syria following a Russian-brokered deal also weighed on the USD while boosting stocks.
Having left a weekly opening gap, EUR/USD is now hovering around 1.3350. GBP/USD rose to the 1.5960 zone before easing back to the 1.5925 area while USD/JPY fell back below the 99.00 mark, but remains well within its recent range.
The AUD/USD is outperforming, having broken above the 100-day SMA to hit a high of 0.9390, while NZD/USD made a decisive break above the 200-day SMA to currently trade around 0.8200.
Main Headlines in Europe:
Fed dominates European open
Flash: What lies ahead of the EUR/USD? – Commerzbank and UBS
ECB's Draghi calls for more reform efforts in the Eurozone
Merkel position strengthened by Bavaria results, Sunday’s elections crucial
EMU: Annual Consumer Price Index at 1.3% in August, as expected
EMU: Labour Cost up 0.9% in Q2
EUR/USD off peaks as Eurozone inflation numbers ease pressure on ECB
The news came just 2 days before the FOMC September meeting and leaves Fed's current vice chairman, Janet Yellen, as the clear front-runner for the job who is expected to take a more gradual approach to tightening monetary policy. Meanwhile, Signs of progress in Syria following a Russian-brokered deal also weighed on the USD while boosting stocks.
Having left a weekly opening gap, EUR/USD is now hovering around 1.3350. GBP/USD rose to the 1.5960 zone before easing back to the 1.5925 area while USD/JPY fell back below the 99.00 mark, but remains well within its recent range.
The AUD/USD is outperforming, having broken above the 100-day SMA to hit a high of 0.9390, while NZD/USD made a decisive break above the 200-day SMA to currently trade around 0.8200.
Main Headlines in Europe:
Fed dominates European open
Flash: What lies ahead of the EUR/USD? – Commerzbank and UBS
ECB's Draghi calls for more reform efforts in the Eurozone
Merkel position strengthened by Bavaria results, Sunday’s elections crucial
EMU: Annual Consumer Price Index at 1.3% in August, as expected
EMU: Labour Cost up 0.9% in Q2
EUR/USD off peaks as Eurozone inflation numbers ease pressure on ECB