06, August 2015

Fundamental analysis

EUR/USD (a 4-hour chart)

The market trades are rather sluggish in anticipation of new movement catalysts. The dollar keeps the overall positive mood ahead of the coming Friday labor market publication which may be defined in terms of the US interest rates timing and thus the US currency prospects.

The US currency was supported by the Federal Reserve System representative statement. The Atlanta Fed President Dennis Lockhart said the central bank may raise short-term interest rates next month.

The US issued the employment outside agricultural sector release from ADP. The data came lower than expected 215 thousand. The number of employees amounted to 185 thousand.

The euro fell amid the increased demand for the dollar. Greece reported that it planned to sign the bailout agreement until 18 August. Greece will carry out a regular payment to the ECB on 20 August and the same deadline for the third tranche agreement signing. The pair is trading in a flat after a decrease.

Earlier the pound fell amid the renewed speculation that the Fed can be tempted to increase the key rate in September. The pair pound/dollar slightly increased on the yesterday’s trades.

The pair USD/JPY has updated the highs and continues to maintain an optimistic tone with the overall demand for the dollar.