Back
1 Oct 2013
Session Recap: It's all about US shutdown; Dollar under pressure
FXstreet.com (San Francisco) - The EUR/USD traded higher on Monday as investors were focused on a possible US government shutdown. But it is not about euro advances but Dollar weakness, the battle of the weakest.
Market is concern about the first US government shutdown in nearly 17 years as no deal has been reached yet about spending bill. It seems the 11th hour will be the time again. Currently the shutdown possibilities are about 90% according to polls.
As Valeria Bednarik, FXstreet.com Chief Analyst, says, it "seems hard to see the dollar advancing on a local crisis, so the overall winner should be the yen on its safe haven condition." And market is trading on shutdown mode with most majors trading near back to last week close.
The EUR/USD remained inside its previous days 1.3480/3550 range and it is closing the day at 1.3525. Bednarik considers that the "EUR/USD may see some advance, yet only steady gains above the 1.3570 should lead to a steady continuation over the upcoming days."
The USD/JPY traded higher on Monday and recovered initial losses from 97.50 to close the day above the 98.00 area. The GBP/USD advanced for second day and tested the 1.6200 level.
Main headlines in the American Session:
Fitch warns political instability in Italy could harm fiscal goals
Canada: GDP expanded 0.6% MoM in July
Canada: Industrial Product Price rose 0.2% in August
US: Chicago PMI jumps to 55.7 in September
The September 2011 Crisis Re-enactment Society continues its diligent work
Berlusconi told PDL he took the decision to pull ministers from government alone
US Senate rejects house bill on Obamacare delay and sends spending bill to keep government open
Boehner says ‘clean’ funding resolution ‘is not going to happen’
Wall Street closes lower but advances on monthly and quarterly basis
Obama speech: Shutdown to disrupt US economy significantly
Market is concern about the first US government shutdown in nearly 17 years as no deal has been reached yet about spending bill. It seems the 11th hour will be the time again. Currently the shutdown possibilities are about 90% according to polls.
As Valeria Bednarik, FXstreet.com Chief Analyst, says, it "seems hard to see the dollar advancing on a local crisis, so the overall winner should be the yen on its safe haven condition." And market is trading on shutdown mode with most majors trading near back to last week close.
The EUR/USD remained inside its previous days 1.3480/3550 range and it is closing the day at 1.3525. Bednarik considers that the "EUR/USD may see some advance, yet only steady gains above the 1.3570 should lead to a steady continuation over the upcoming days."
The USD/JPY traded higher on Monday and recovered initial losses from 97.50 to close the day above the 98.00 area. The GBP/USD advanced for second day and tested the 1.6200 level.
Main headlines in the American Session:
Fitch warns political instability in Italy could harm fiscal goals
Canada: GDP expanded 0.6% MoM in July
Canada: Industrial Product Price rose 0.2% in August
US: Chicago PMI jumps to 55.7 in September
The September 2011 Crisis Re-enactment Society continues its diligent work
Berlusconi told PDL he took the decision to pull ministers from government alone
US Senate rejects house bill on Obamacare delay and sends spending bill to keep government open
Boehner says ‘clean’ funding resolution ‘is not going to happen’
Wall Street closes lower but advances on monthly and quarterly basis
Obama speech: Shutdown to disrupt US economy significantly