The Euro is trading upwards. Overview for 23.01.2017

The main currency pair is trading to the upside at the beginning of the week; the USD wasn’t supported by Trump.

It seems that the “political award” in the EUR/USD par was too much: after the inauguration of Donald Trump, a new American president, and his rather optimistic speech, the USD didn’t manage to find any reasons to strengthen. The current quote for the instrument is 1.0728.

In general, the speech Trump delivered last Friday was positive. He noticed that he was intended to renegotiate trade relations with several countries, make the USA “strong and healthy” country again, employ Americans, and increase the number of jobs at the facilities that return to the country. Not a single word was spoken about the strong USD. However, taken together, it didn’t impress investors.

Most likely, the market will wait for some real actions from Trump as the President of the USA. Taking into account that the politician announced a brand new level of the country’s security, one can easily expect the rhetoric in relation to some Middle East countries to be hardened much. The domestic employment market looks stable anyway, but after the signing of the law about increase of taxation for companies, production facilities of which are located outside the USA, they would probably start relocating these facilities back to the USA. This will definitely make a difference for the labor market. Trump and his team know for sure how to make money work and, probably, his strategy will be based on that.

No significant statistics from the USA is expected in the evening; one should pay attention to the Sentix Consumer Confidence in the Eurozone in January.

RoboForex Analytical Department