EUR/USD breaks below 1.1200 on hawkish Fed’s Powell

FXStreet (Córdoba) – EUR/USD took another leg lower and broke decisively below the 1.12 mark as the dollar strengthened further in the wake of Fed’s Powell’s comments, who suggested liftoff could come as soon as September.

Fed’s Powell boost the greenback

Jerome Powell also said that the Fed forecast is for two hikes this year, September and December and added that a percentage point this year is a possible rate path if economy grows as anticipated.

The dollar shrugged off below expectations US durable good orders and extended gains across the board following very hawkish comments from an otherwise neutral member.

EUR/USD is currently trading at 1.1172, recording a 1.46% loss on the day, having struck an 11-day low of 1.1159 in recent dealings.

Euro weak despite Greek optimism

The euro has been under pressure throughout the day despite growing hopes Greece could reach a deal with its creditors that will avoid a default and a possible Grexit, after Athens submitted a new set of proposals to the Eurogroup on Monday.

EUR/USD took another leg lower and broke decisively below the 1.12 mark as the dollar strengthened further in the wake of Fed’s Powell’s comments, who suggested liftoff could come as soon as September.

(Market News Provided by FXstreet)