EUR/USD failed to break above $1.1800...>

EURO-DOLLAR: EUR/USD failed to break above $1.1800 as USD weakness kicked in on

the back of the statement released alongside the latest 25bp hike from the FOMC,

which dropped the word accommodative. Chair Powell was quick to play down the

removal of "accommodative" from the statement, saying this does not signal a

change in pol. Powell reiterated pol is still accommodative & noted that overall

fin'l conditions remain accommodative, which allowed the USD to recover further

after the initial pressure that it faced faded. EUR/USD last deals at ~$1.1755,

15 pips higher in early Asia-Pac dealing. Above $1.1724 keeps the recent uptrend

intact with bulls focusing on $1.1800, ahead of the June 14 high ($1.1851). A

close below neckline support ($1.1724) re-opens the 100-DMA ($1.1659).

- RTRS sources suggested that the ruling Italian coalition want a deficit/GDP

ratio of 2.4%, after economy minister Tria revealed that the budget will include

the heavily debated basic income on Wednesday. Bear in mind that the government

is scheduled to publish its draft budget later today.

- German regional & national CPI, addresses from ECB's Draghi, Praet & Lane and

the latest ECB economic bulletin headline the EZ docket Thursday.