Economists at ING had called for EUR/USD to break 1.10 this week. This is still a possibility, but the surprise oil production cut announced by OPEC+ gives Dollar a lifeline.
Move to 1.10 delayed
“We called for EUR/USD to break above 1.10 sometime this week, but the asymmetrically positive impact on the USD of the OPEC+ surprise cut means that such a call now probably requires some disappointing data out of the US due to the lack of a euro. Specific drivers this week. This is not necessarily our base case, and EUR/USD bulls will likely welcome the pair to end the week near 1.0850/1.0900.”
“Strong US data and hawkish Fed commentary could see pair test 1.0700 and 1.0600 support.”
