INSUBCONTINENT EXCLUSIVE:
Euro bulls may not be able to count on the Federal Reserve meeting next week for support as European policy makers grow more concerned over
President Mario Draghi noted the balance of risks is moving to the downside
The common currency may remain under pressure in the medium-term, heading toward important technical support at $1.1187.
The Federal Open
Market Committee holds its final meeting of 2018 and policy makers are expected to increase interest rates by a quarter percentage point on
December 19, the fourth time this year
They are seen dialing back the number of moves next year to two, in March and September, from the three hikes economists saw in September
The Fed will probably stick to its latest rhetoric, remaining upbeat on the economy, forecasting solid growth and note that current policy
is below the range of estimates of neutral, while at the same time acknowledging mounting risks to the global economy
A gauge of market expectations for large price swings in the euro over the one-week tenor stood at a five-year low on Thursday as
expectations for an ECB hike are pushed back
Price action into year-end may be choppy and noisy as liquidity issues arise and portfolio re-balancing before the Christmas holidays takes
The probability of a partial US government shutdown may not weigh heavily on euro-dollar, while the common currency may find brief support
