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Forex Today: EUR/USD continues digging down, Trump and Johnson struggle, US data eyed

Here is what you need to know on Friday, September 27:

  • EUR/USD continues its downward grind, hitting the lowest since May 2017 and nearing 1.09. There is no immediate trigger for the move that seems to be fueled by monetary policy divergence. German import prices dropped by 0.6% in August, worse than expected.
  • US politics: President Donald Trump's has lashed against the whistle blower that revealed the president sought political dirt on his potential political rival Joe Biden. Trump called the whistleblower – a CIA officer – a "spy." The news somewhat weighs on market sentiment. 
  • UK politics: The EU sees slim chances of achieving any Brexit deal with the UK and even lower chances of getting anything passed through parliament after rancorous scenes in the House earlier this week. GBP/USD has stabilized above 1.23.
  • Oil prices remain under pressure as Saudi oil output returns to normal. 
  • Japan: Inflation figures for the Tokyo region fell short of expectations with 0.5% on the "core of the core" figure. It adds pressure on the BOJ to cut interest rates.
  • The US economic calendar is packed with market-moving data. Durable Goods Orders for August are set to rise while Core PCE – the Federal Reserve's preferred gauge of inflation – is expected to accelerate to 1.8% YoY. On Thursday, US economic growth was confirmed at 2% annualized in the second quarter, but the fall in investment was worse than previously reported.
  • Cryptocurrencies have continued falling with Bitcoin dipping below $8,000.

 

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