Euro Slightly Lower Awaiting FOMC Statement
Euro has declined slightly versus US dollar. The EUR/USD pair is trading at 1.1421, having lost 0.05% on the day. Yesterday, the single currency traded close to $1.15 level, but retreated, as the dollar stabilizes in anticipation of the US Fed rate statement.
Markets expect results of the FOMC meeting. In its statement, the Fed is expected to announce that it will keep its key rate unchanged in a range of 2%-2.25%, the level it reached in September when the Fed raised it for the third time this year. The Fed is expected to raise rates in December, which would mark a fourth hike in 2018, and continue with at least three rate hikes in 2019.
The November meeting of the FOMC is not extended, that is, it will not include the publication of economic forecasts and press conference of the Fed Chair Jerome Powell.
Today’s data showed, that German exports fell by 0.8% on the month in September, with imports down 0.4%. Economists had expected a 0.3% rise in exports and a 0.8% increase in imports. Germany's trade surplus narrowed to 17.6 billion euros ($20.09 billion) from a revised 18.2 billion euros in August.