In the night our time, EURUSD gained at some point over 170 pips setting new short-term peaks and dragging other pairs with US dollar. Most analysts as an excuse give low liquidity, others assume, however, that its role could have FBI federal police of the United States.
Report on Russia weakened the dollar?
It is worth noting that the period in which there was a shot at the EUR/USD is not the most liquid – when traded only Australia and New Zealand, and Asian trading had yet to begin. Adding that it is period before the New Year, the transaction books are slightly thinner and on the market is far less money so such movements are much more likely.
However market analysts argued that the dollar could have reasons to make such unexpected strong nocturnal movements. One theory is that this was due to the FBI report, in which Russia is accused of interfering in the process of presidential elections in the US using computing technology. As a result, President-in-Office until January 20, Barack Obama put on our eastern neighbors sanctions and issued an order to leave the country by 35 Russian diplomats within 72 hours.
This is really only a politic show. Donald Trump announced he wants to have good relations with Russia and will quickly forget about this incident to deal with serious problems. At the end if the Russians really dipped their fingers in the falsification of the election results the new president-elect should be happy with the final results.
Friday we have shortened session – a calendar on the last day of trading in 2016
Friday’s session will be again one of the most boring during the holiday season. At 15:00 stops trading German stock exchange, while London ends at 13:30. Citi will return to work from January 3 (2 January on Monday, is free thanks to taking the day off for New Year’s Day falling on a Sunday).
