Source: ForexYard
The euro remained stable against its main currency rivals during overnight trading, as investors remained eager to see what, if any, steps the ECB is planning to take to boost growth in the euro-zone when they meet on Thursday. Crude oil fell as low as $87.49 last night, down close to $3 a barrel from yesterday afternoon, amid fears that the US Federal Reserve will not initiate a new round of quantitative easing to boost the US economy. The commodity has since staged a mild recovery and is currently trading just below the $88.20 level.
Main News for Today
ADP Non-Farm Employment Change- 12:15 GMT
• The ADP figure is considered an accurate predictor of Friday’s all important Non-Farm Payrolls figure
• Should the news come in above the expected 121K, the USD could rally during mid-day trading
US Crude Oil Inventories- 14:30 GMT
• Analysts are predicting that US crude stockpiles fell be 1.5M last week
• If true, investors may take it as a sign of increased demand in the US, which could boost the price of crude as a result
FOMC Statement- 18:15 GMT
• Investors will be closely watching the FOMC Statement to see if the Fed will unveil any new plans to boost the US economy
• Any mention of a new round of quantitative easing could lead to risk taking in the marketplace, which would in turn lead to losses for the USD
Read more forex news on our forex blog
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