EUR/USD hits fresh lows under 1.1700, remains under pressure Euro remains weak after ECB decision. The Catalan crisis goes on as Puigdemont does not call a snap election. USD gains momentum as yields move off lows. Following the ECB decision and Draghi’s press conference the euro dropped further in the market and sent EUR/USD to a fresh 2-week low at 1.1686.
ECB, Draghi and USD
The euro fell sharply after the taper announcement from the ECB. The decision was in line with expectations but market participants considered the message as tilted to the dovish side. The decision was not unanimous as a minority of the members wanted to put a precise end date. Despite the optimism from Draghi, the euro weakened.
After Draghi, news coming from the US pushed US bond yields off lows and offered support to the greenback. The House of Representatives passed a budget blueprint, clearing the way for tax cuts. The 10-year yield rose back to 2.44% after falling earlier to 2.40%.
Meanwhile, the c..
U.S. House Republican meeting on state, local tax deduction has ended without compromise – Kevin Brady According to the U.S. House Tax Panel's Chairman Kevin Brady, House Republican's meeting on state and local tax deduction has ended without compromise.