The US dollar was under pressure - the dollar index basket (DXY) finished the trading day around 87.90. The EUR/USD was able to finish the trading day in a positive territory despite the mixed news. Earlier the second US GDP assessment for the third quarter pleased traders by the positive data –the indicator was revised upwards by 3.9%. The United States show strong growth for the last two quarters that is seen in the dollar strengthening.
The parliamentary inflation hearings did not cause any significant fluctuations within the pair GBP/USD. Mark Carney denied deflationary fears and also pointed out that the cumulative monetary policy tightening would likely be less significant than it was expected earlier.
The Bank of Japan governor’ speech was held on Tuesday and allowed the Japanese yen with the US dollar to compensate some lost ground. Haruhiko Kuroda said that the monetary authorities would closely monitor the yen devaluation as this process begins to exert pressure on households. It was also noted that rising inflation expectations affect the salary and pricing strategy. The pair grew after the US GDP the third quarter assessment release.