EUR/USD: Focus is on fiscal stimulus but coronavirus concerns could take over at some point

EUR/USD has been edging up amid hopes for US fiscal stimulus while Eurozone coronavirus cases and political uncertainty are holding the currency pair back. Trump holds the key on stimulus deadline day, Yohay Elam, an Analyst at FXStreet, reports.

Key quotes

“Pelosi set to Tuesday as the deadline to reach a deal – talks have been dragging on for months and the elections are due in exactly two weeks. Will Trump push for a deal and can he impose his will? That remains an open question. Markets are set to seize on any hint if an agreement is coming or not.” 

“Christine Lagarde, President of the European Central Bank, raised concerns of a slowdown stemming from this second wave of coronavirus. The ECB announces its decision next week, and for now, no new measures are anticipated. However, additional COVID-19 statistics and lockdown news may push the Frankfurt-based institution to action.”