U.S. fed plans gradual rate increase
It appears fairly certain that the feds don’t plan to make any abrupt changes to the federal funds rate in the United States. With this being the case, it is expected that the fall-off in the value of the dollar will continue for the immediate future. The USD has trended down this month and looks to continue that trend for daily, weekly, and end of month trades.
Greece continues to drag things out
Greece appears to have scraped up enough funds to stay afloat for another six weeks or so. This is likely bad news for the EUR as it has resumed its months’ long plunge. With no resolution to the Greek crisis expected until Greece gets closer to running out of funds, tension with the issue looks to drive the EUR down below its current levels. Smart trades this week have been down on the EUR for both intra-day and end of week/month trading.