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Fresh Cycle Lows

EURUSD

Broader USD strength knocks EUR/USD through $1.1700 as activity picks up in Asia, with the cross trading through yesterday's low as a result. It is hard to identify a fresh cue for the move, perhaps Asia-Pac participants are looking the Fed's July meeting minutes, which failed to derail chances of a tapering announcement in Q421. Still, some meeting participants were clearly cognisant of the risks that are apparent, which, when coupled with some hawkish exp. ahead of the minutes, resulted in an initial USD negative reaction in NY hours. The cross trades to the lowest level witnessed since Nov '20, printing a low of $1.1684 thus far, with notable technical support not seen until a projection off of the Jan 6 - Mar 31 - May 25 price swing ($1.1621).

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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