EUR/USD expected to gravitate around 1.20 near term – Danske Bank

Senior Analyst at Danske Bank Morten Helt sees the pair orbiting around the 1.2000 handle in the short term horizon.

Key Quotes

“In the majors, US President Trump's comment before the United Nations failed to trigger a marked response in USD, JPY, CHF or the gold price”.

“EUR/USD has been trading in the 1.19- 1.20 range ahead of the FOMC meeting tonight. This could turn focus back towards US monetary policy normalisation, which could lend some support to USD”.

“However, the market has already started to price in a December rate hike with a higher probability. It means that any dig in EUR/USD should be shallow and short-lived. We look for EUR/USD to trade around 1.20 in the short term”.