Global macro overview for 05/08/2015:
Yesterday evening, Federal Reserve Bank of Atlanta President Dennis Lockhart said the Fed was ready for the first in nine years short-term interest rate hike as the economy is on its way to recovery. He added that only serious deterioration in the US economic conditions ( unemployment incensing, wages decreasing, inflation decreasing, manufacturing decreasing) could bar the Fed from raise the interest rate. Nevertheless, the Fed’s inflation target level for the first rate hike is 2%. This is why September’s rate hike might be postponed December 2015.
After the hawkish Lockhart comments the EUR/USD pair broke below the golden trendline and it is currently trading at the level of 1.0864. The important support at the level of 1.0808 is the next in view.
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