The euro ran stops, taking out the low from Friday after Nonfarm Payroll shortly before Atlanta Fed President Bostic spoke this morning.
As expected today the Federal Reserve did not raise interest rates. The dollar initially reacted lower to the statement but solidified itself before trading to a new session high.
While U.S. economic data has not given the dollar much reason to extend gains, data from the Eurozone has surely not done the euro any favors.
ECB meeting is the headline event of the week. They are expected to leave policy unchanged and the statement is due at 6:45 am CT.
The euro started off on its backfoot this morning after a soft CPI read, YoY headline missed by one-tenth and the rest was inline.
As reported earlier, today’s economic data releases from China and Germany helped to boost risk appetite and undermined the euro and Aussie.
Today’s publication of key macro data from some of the world’s most important economies has been far from impressive, underscoring key central banks’ cautious approach about normalizing monetary policy.
The euro opened the week on a strong note, recovering back to last week’s high near the 1.2450 mark. Price action moved sharply higher on the European open at 2:00 am CT and saw further gains as the U.S. dollar weakened on frothy data and a tweet from President Trump.

The strong performance of U.S. equities on Monday and better than expected Chinese GDP failed to inspire Asian markets today.

The U.S. dollar lost against most majors even if it appreciated against safe-haven currencies on Friday. The Syrian conflict concerns faded at the end of the week and boosted the USD versus the JPY and the CHF. The release of the meeting notes from the March Federal Open Market Committee proved to be a positive for the American currency as the Fed was more hawkish than expected. Next up for the markets will be the release of retail sales data in the United States and the Bank of Canada (BoC) rate statements.