EURUSD: To Fresh Session Highs After Powell’s Remarks

Jerome Powell, Chair of the Board of Governors of the Federal Reserve System Remarks:

FED will act as appropriate to sustain US economic growth.

Uncertainties since June FOMC have continued to dim the outlook and there is a risk that weaker inflation will be even more persistent than the central bank currently anticipates, reviving hopes for an aggressive rate cut move.

Fed’s baseline outlook is for economic growth to remain solid, labor markets to stay strong, and inflation to move back up over time to the Committee’s 2 percent objective. However, uncertainties about the outlook have increased in recent months. In particular, economic momentum appears to have slowed in some major foreign economies, and that weakness could affect the U.S. economy.

EURUSD reacted with a spike up to 1.1250 making new daily high. The pair breached the 50 day moving average and stopped at 1.1256 where the 100 day moving average crossesDon’t miss a beat! Follow us on Twitter.

Download our Q3 market outlook today for our longer-term outlook for the markets and trade ideas.

Do you enjoy reading our updates? Become a member today and access all restricted content. It is free to join.