On Thursday EUR has backed down in the Europe market against the main and secondary currencies, to achieve the lowest level in one week against the USD, under the pressure of renewing the fears about the monetary policy difference in Europe and US, especially after the American central Leeds to increase the interest prices before the end of the year and he announced about starting in decreasing the budget starts from the next October, and the investors are waiting today for the Europe central governor Mario Draghi remarks looking for a new clarification about the Bank decisions of the motivator monetary tools that we expect to take it the next month.
At 7:35 GMT EURUSD is trading at the level 1.1880 from the opening price 1.1891 after it records the highest price 1.1900, and the lowest price 1.1866.
The EUR has losses yesterday by 0.9% against the USD, recording the lowest level in one week 1.1861 USD, after the USD hasn’t increased against the most of the currencies, after the federal reserves council ” American Central” decisions.
After the meeting has continued for two days, the federal reserve has let the interest prices without any change mentioned at the range 1.25% to line with the most economic expectation, but he pointed that he expects another increase in interest prices at the end of the year, despite the weakness of the inflation levels in the country.
The council has announced about starting in decreasing the budget of the financial bills that support with the mortgage and the treasury bills which its value about 4.2 billion USD, which it has collected at the last years after the international financial crisis in 2008.
And for revaluation the current gap between the monetary policy in Europe and US, the investors are waiting today for the Europe central governor Mario Draghi Remarks, and he will speak at 13.:30 GMT during the yearly press conference of the Europa systemic risks in Frankfort, and waiting for the decisions hints that the Bank will take it about the motivation monetary tools during the next meeting in October.
JPY increased after Japan central bank meeting
The JPY has increased during the trading on Thursday after the Japan Central Bank meeting which has decided to fix the monetary policy without any change and pointed to the improvement in economic growth although it’s far from the inflation target at 2%.
The new member in the Japan central Bank has objected the Kuroda Bank president in its first meeting to vote against the decision of keeping the interest prices less than 0.1% and fixing the monetary policy, and that reflects a new orientation in the Bank against the exceptions procedures which the Bank has kept it for a long time.
JPYUSD are trading currently at the level 112.43 and that’s after the opening of today’s session at the level 112.54 to record the lowest level at 112.35 and it recorded the highest level at 112.65.
The expectation said that the Kuroda Bank president may not change his current monetary policy until the end of his presidency in April, while the Japan minister president Shinzo Abe may request an early election during the next month to support his situation against North Korea threats.
This causes JPY to increase again after recording the lowest level in two months because of the standard increase in USD levels and the federal reserve yesterday’s meeting which it points to start the decreasing in Bank budget during the next month and increasing the interest again this year.