Posted on July 19, 2022 During the day yesterday, Monday, the price of the EUR/USD pair moved in a wide range of 1.0064-1.0202, to end up closing the session in European time at levels of 1.0167, recovering the psychological level of 1.01. The interest rate on the 10-year US bond rose sharply to 2.99%. Market operators cut weight to the probability of a more aggressive policy by the FED, thus reducing the probability of rate hikes of 100bp and this quickly passed through to the dollar, weakening it. Several Fed officials pointed out last Friday that the rate hike would be 75bp for the meeting on July 26 and 27, although there could be higher hikes in the remainder of the year. Yesterday the confidence of homebuilders was published in the United States, a figure that reflected a sharp drop in July. The origin lies mainly in high inflation and the cost of loans, which are at the highest levels in the last 10 years. As for Russia, its Central Bank will sell one billion rubles in a year-long buyback auction to help financial institutions manage their liquidity. Meanwhile, the Russian state-owned company Gazprom has suspended gas deliveries from at least three European gas buyers, citing “force majeure” causes. At the same time, Gazprom’s exports to China reached a new record in daily shipment to China (+63.4%). INFORMATIONTitleDuring the day yesterday, Monday, the price of the EUR/USD pair moved in a wide range of 1.0064-1.0202, to end up closing the session in European time at levels of 1.0167, recovering the psychological level of 1 .01. The interest rate on the 10-year US bond rose sharply to 2.99%. Market operators cut weight to the probability of a more aggressive policy by the FED, thus reducing the probability of rate hikes of 100bp and this quickly passed through to the dollar, weakening it. Several Fed officials pointed out last Friday that the rate hike would be 75bp for the meeting on July 26 and 27, although there could be higher hikes in the remainder of the year. Yesterday the confidence of homebuilders was published in the United States, a figure that reflected a sharp drop in July. The origin lies mainly in high inflation and the cost of loans, which are at the highest levels in the last 10 years. As for Russia, its Central Bank will sell one billion rubles in a year-long buyback auction to help financial institutions manage their liquidity. Meanwhile, Russia’s state-owned company Gazprom has suspended gas deliveries from at least three European gas buyers citing “force majeure.” At the same time, Gazprom’s exports to China hit a new record daily shipment to China ( + 63.4%).DescriptionDuring yesterday, Monday, the price of the EUR/USD pair moved in a wide range of 1.0064-1.0202, to end up closing the session in European time at levels of 1.0167, recovering the psychological level of 1.01. Author GLOBALCAJA
The EUR/USD pair recovers the psychological level of 1.01
