Forex – Weekly Forecast: June 18-22
The mixed monetary policy outlook between the Federal Reserve and the European Central Bank is likely to boost the dollar and affect the euro next week, making the dollar more attractive to investors looking for revenue.
At the same time, the Bank of England is expected to keep interest rates unchanged on Thursday, as well as the Swiss National Bank.
Investors will be updated on the health of the US housing market with building permits on Tuesday, new housing data and Wednesday’s report on existing home sales.
The euro area will publish data on private sector business on Friday.
The euro regained some of its strength against the dollar on Friday, with EUR / USD trading up 0.36% to hit 1.1610, after falling 1.88% in the previous session. The euro ended the week down 1.34%.
The euro fell on Thursday after the European Central Bank set plans to end its massive asset purchase program by December, but also pledged to keep interest rates unchanged until at least mid-2019.
A day before a tougher vote, the Federal Reserve raised interest rates for the second time this year and said it now sees two additional interest rates before the end of the year.