EURUSD is sliding down; investors are waiting for the Fed meeting and its decisions.
The major currency pair remains under pressure on Tuesday. The current quote for the instrument is 1.1288.
The statistics published by the Euro Area yesterday were rather mixed. The Services PMI dropped to 51.2 points in January after being 53.1 points the month before. The Manufacturing PMI increased to 59.0 points after 58.0 points in December.
For Germany, the Manufacturing PMI improved to 60.5 points In January after being 57.4 points in the previous month. The Services PMI went from 48.7 points in December to 52.2 points this month.
All readings are above the psychologically important level of 50 points, and that’s a good signal. At the same time, the numbers are looking rather unstable.
The US Services PMI from Markit dropped to 50.9 points in January after being 57.6 points the month before. The Manufacturing PMI retreated to 55.0 points after being 57.7 points in December. These declines may have something to do with the spread of Omikron.
Starting today, investors’ attention will be totally focused on the US Federal Reserve System meeting. There already were a lot of words and rumours, so now it’s time to wait for the facts that are expected to be announced tomorrow. There are opinions that nothing really dramatic will happen this time – all the Fed could say is the number of rate hikes of the time of the balance reduction.
If it’s true, the “greenback” may preserve stability and avoid any significant fluctuations.
Source: Roboforex
