Forex Analysis

EUR/USD Analysis

The pair traded another fresh low for the year so far this morning in Asia, thanks to the broader US dollar rally today.

With US markets closed for the Labor Day holiday volumes remained light tied to narrow range trade.

A day in the spotlight for the JPY this morning after last night’s holiday thinned session due to US Labor Day holiday.

The RBA lowered its GDP growth and near-term inflation forecasts in the August Statement on Monetary Policy (SMP).

During August the pound weakened against the US dollar in terms of London closing rates from 1.6883 to 1.6579.

During August the US dollar strengthened against the euro in terms of London closing rates from 1.3383 to 1.3145.

Election of Tusk as next EC President makes PLN nervous Polish PMI remains below 50

September is here. We are now approaching the biggest focal point for the year regarding how the USD/JPY uptrend will pick up pace.

In FX, EUR continued to inch lower to 1.312 ahead of Thursday’s ECB meeting.

Focus will be on European and Asian data with the US closed for Labour Day.

German Bund yields ended the day practically unchanged as the Euro area inflation came down to a new cyclical low just as expected.

The pair started this morning at $0.9329, just below the $0.9340 NY Friday close to start the new week and