The greenback was once again in familiar ranges versus its G10 counterparts overnight.
Overview
The dollar did gain about half a percent versus the Norwegian krone after Norges Bank regional network survey showed that companies were less optimistic.
There is once again no major economic data released in the United States today, but there are a number of geopolitical events that are worth paying attention to. At 9 a.m. the leaders of the House committees will announce two articles of impeachment against the President. The first concerns the abuse of power and the second relates to the obstruction of Congress. An hour later, Speaker of the House Nancy Pelosi will hold a press conference regarding the USMCA trade deal. The Federal Reserve begins its two-day meeting today. Except the greenback to be headline-driven today but the most likely outcome will be continued ranges for most currencies ahead of events later this week.
What to Watch Today…
- No major events scheduled for today.
Complete Economic Calendar can be found here.
EUR
The Euro got a minor boost following a turnaround in investor sentiment in Germany. ZEW’s index of expectations for the next six months increased to its highest level since 2017. It was also the first positive reading since April. The turnaround in sentiment in Europe’s largest economy is noteworthy but it is unlikely to significantly alter the direction of EUR/USD.
GBP
The British pound has entered “wait and see” mode ahead of this Thursday’s election. The sterling had rallied nearly 10% since touching three-year lows in September as traders became to price out a “no-deal Brexit” scenario. Polls continue to show a decent advantage for the Conservative party, but a hung parliament is still a possible scenario. Election results will start to trickle in late Thursday evening Eastern time and we should have a clearer picture by Friday morning.
A report showed that the U.K. economy did not register any growth in the third quarter. Yearly growth was down to just 1.0% and analysts are quick to blame the “uncertainty” surrounding Brexit.
