The Euro is looking for reasons to grow. Overview for 24.02.2021

EURUSD has reached stability by Wednesday and is waiting for new catalysts to get stronger. 

The major currency pair is looking neutral on Wednesday – all past news is already included in prices. The current quote for the instrument is 1.2159.

According to the US Federal Reserve chairman Jerome Powell, who spoke yesterday, the regulator would its benchmark rate low until the country’s economy reached the targets in the CPI and employment. By doing this, the Fed realizes that this task may take much time and Powell said that this moment was pretty far away. 

In Powell’s opinion, the economic policy is looking rather unclear and recovering quite slowly. The labor market recovery is slow but the vaccination campaign in the USA holds a promise of a positive outcome.

Powell once again warned that the current problems in the economy shouldn’t be underestimated. The regulator is planning to announce changes in its monetary policy before they are implemented so that market players could realize what is happening before it happens. 

In general, there was nothing new. However, for the USD, which remains rather sensitive, it was another confirmation of the fact that the regulator’s soft monetary policy would continue for a long time, longer than it was thought before. This, in its turn, a pretty log-term pressure factor.