Euro Strengthens, ECB Minutes in Focus

Forex News

The single currency holds steady versus US dollar today. The euro/dollar pair added another 0.35% to trade at 1.1426 level. The euro gained 0.1% on Wednesday, despite the European Union rejecting Italy's fiscal plans for failing to comply with Eurozone rules. The single currency has risen in six out of the last seven sessions but analysts said it remained vulnerable to political risks from Italy.

The next cue for euro would be the Eurozone and Germany services and manufacturing PMI reports on Friday. Also tomorrow, Germany releases Final GDP for the third quarter, with the markets braced for a decline of 0.2%.

The European Central Bank will release the minutes from the 25 October meeting. Eurozone growth is lacklustre, and investors will be watching closely for any hint of uncertainties from Governing Council members over policy normalisation. Even as Eurozone growth momentum slows, the ECB have stuck with plans to end its asset purchase program from December and begin raising interest rates at the end of 2019.