EUR/USD: Euro Floats Around $1.09 After Fed Minutes Show No Sign of Rate Cuts

The Federal Reserve still has inflation on its things-to-worry-about list and doesn’t plan to reverse its rate-hiking campaign just yet.

• The EURUSD pair gravitated towards the $1.09 handle early Wednesday after traders reacted to the latest Federal Reserve minutes release. Central bankers revealed on Tuesday what they chatted about at their meeting three weeks ago when they kept interest rates unchanged. Hint: it’s rates.
• Policymakers were united over the prospects of zero rate cuts in the near future, despite some analysts expecting to see a hint of policy reversal. In fact, the committee is still worrying over inflation sprouting back to life after October’s celebrated 3.2% consumer-price growth.
• In that context, forex deals were mostly quiet as markets anticipated tomorrow’s Thanksgiving Day. Stocks won’t open for trading on Thursday and will go into a shortened session on Friday. The currency corner won’t cease operations but volumes and volatility could be substantially lower.