The EUR/USD is falling significantly. Overview for 21.02.2017

The main currency pair is trading to the downside on Tuesday amid speculation that the USA Fed may revise the rate in the future.

The EUR/USD got very nervous: one day it’s speculations that presidential elections in France may be won by Marine Le Pen, who wants to exclude the country from European Alliances, another day it’s rumors about possible revision of the American rate in the nearest future. In such situation, the demand for the USD is increasing. The current quote for the EUR/USD pair is 1.0537. Today’s drawdown of the main currency pair is rather significant.

On Wednesday, they’re going to publish the USA FOMC Meeting Minutes and investors are hoping to find there any indications (hints, nuances) that the rate will be increased soon. All this is in favor of the American currency.

The statistics published by the Eurozone was mostly positive, although market players paid little attention to it. The Markit Services PMI Flash in France in February increased up to 56.7 points although it was predicted to reach 53.8 points. The same indicator for Germany increased up to 54.4 points after being 53.4 points in the previous month and against expectations of 53.6 points. In the Eurozone, the indicator increased up to 55.6 points, which is also better than expected.

The Markit Manufacturing PMI Flash in February was 52.3 points in France (worse than in January), 57 points in Germany (better), 55.5 points in the Eurozone (better).

In the evening, the USA are planning to publish several statistical report; the FOMC Members Kashkari (Minneapolis) and Harker (Philadelphia) are expected to speak. So far, the market situation is in favor of the USD.

RoboForex Analytical Department