EUR/USD
Important data has been released - practically the only one this week - on new construction in the United States.
Construction has increased significantly: new home starts were +1630K compared to +1430K the previous month.
Building permits have also increased: +1491 compared to +1417 the previous month.
Of course, it should be noted that summer is the season of mass construction, but the significant growth in new home construction clearly indicates strong consumer demand. And this, in turn, gives the Federal Reserve the opportunity to raise rates a little more if it so desires.
It is precisely this possibility of a rate hike that is putting pressure on EUR/USD at the moment.
However, as we can see, EUR/USD is quite resistant to sales.
On Wednesday and Thursday, the markets may be influenced by the report of the head of the Federal Reserve to the US Congress - he will speak two days in a row - in the House of Representatives and in the Senate.
We still expect EUR/USD to rise towards 1.1100 and beyond.
