FXStreet (Córdoba) – EUR/USD remains steady on Friday, on a low volume session as Wall Street is closed and ahead of the Greek referendum to be held on Sunday. The pair is hovering around 1.1100, 50 pips below the level it had a week ago.
Earlier it dropped to 1.1078, where daily lows lie but quickly bounced back toward 1.1100. On European hours it peaked at 1.1117. Today’s trading range of less than 50 pips is the smallest in months.
Last trading hours before referendum
Ahead of the voting in Greece, stocks in Europe are about to end Friday with modest losses but deep in red for the week. Main indexes lost 3.5% on average during the last five days. Despite the decline in stocks the euro managed to move off weekly lows.
Monday could be another day of volatility for EUR/USD after the referendum. According to analysts from Brown Brothers Harriman the importance of the referendum is being diluted and the noted that the Foreign Minister, Tsakalotos said Greece will have a deal with its creditors on Tuesday, regardless the outcome of referendum; Finance Minister Voroufakis, mentioned that a deal is more or less done. “It’s hard to know if this is a reactive or proactive change in rhetoric from a government that is facing the equivalent of a confidence vote. What we know is that current polls show the yes camp (accepting EU’s terms) is gaining momentum”.
(Market News Provided by FXstreet)