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The Fed Holds
The US index fell 0.87% on Thursday, dropping to 2-months lows as the Presidential race rages on.
Joe Biden‘s lead seems to be advancing as more and more votes are confirmed. However, Donald Trump is not taking this lying down, as he made unsubstantiated claims of vote-rigging.
As markets widely expected, the Fed kept its benchmark interest rate unchanged last night. Powell stated that economic activity and employment have continued to recover but remain well below their levels at the beginning of the year.
In addition to the downturn of the greenback, initial jobless numbers barely moved from the previous week. This indicates a long road ahead for the US economy.
EURUSD Surges Past 1.18
The euro moved to a weekly high as it closed 0.85% up yesterday.
A shift in risk appetite on the US dollar was a contributing factor for the currency pair, as the eurozone looks ahead to a bleak winter.
With the increasing risk of a double-dip recession heading for the fourth quarter, the...
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