EUR/USD: WAIT FOR THE FOMC MEETING REGARDLESS OF HOW THE US CPI DATA TURNS OUT – COMMERZBANK

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Ahead of the Fed meeting tomorrow and the ECB meeting on Thursday the FX trade in EUR/USD has become a bit sluggish. Economists at Commerzbank say that shrugging off US inflation data today is the best.

It makes no sense to panic

Even though the data today might cause some toing and froing in EUR/USD, it makes no sense to panic. It probably makes most sense to wait for the FOMC meeting tomorrow regardless of how the data turns out. 

And even then, the last word has not yet been spoken in EUR/USD as what will matter on Thursday is how hawkish the ECB will sound and whether it might provide an indication as to where it expects its terminal rate to be


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