USD weakness is present in the forex markets this morning due to political instability in the US taking the place of the ECB’s comments on how it is not planning to tapper in the near future.
US ISM PMI is next announcement to cause move in EURUSD
EURUSD is pushing eight-day highs of 1.0995 and is trying to break above 1.10. European trading has seen buyers of the pair driven by cross-driven demand from EUR/JPY and EUR/GBP. Demand could be temporary depending on US ISM and PMI to be released today at EST 9:45 and 10:00.
The market is expecting 53.3 for October Manufacturing PMI, October ISM Manufacturing Employment of 50.0 and October ISM Manufacturing PMI of 51.7.
October ISM Manufacturing PMI is a big market mover. Last month’s beat by 1.2 was welcomed by traders who would be further encouraged with another beat this month.
Where will EURUSD go from here?
This week is unusual due to the upcoming US Presidential election which will likely keep any huge move in check until the results are known on November 9th but if today’s ISM number is strong for the US economy look for the lows of last week at 1.085 to be tested while a break to 1.11 then 1.12 if the number is disappointing.