EUR/USD Forex Signal: Recovery Fades as Bears Target 1.0700

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EUR/USD Forex Signal: Recovery Fades as Bears Target 1.0700
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The euro and the US dollar have moved sideways as investors reflect on the latest Fed speak and the US debt crisis. EURUSD FOREX SIGNAL

The EUR/USD pair was trading at 1.0820, where it has been since Friday. This price is a few points above the lowest level this month.The main event moving the euro, dollar, and other currencies this week is the debt ceiling issue as the June 1 deadline nears. Joe Biden and Kevin McCarthy, the house speaker, held a meeting on Monday evening. In it, they deliberated on key topics, including the proposals by the speaker.

The EUR/USD also reacted to the mixed messaging from the Federal Reserve. On Friday, Jerome Powell sounded a bit dovish as he warned about the state of the economy. He singled out the performance of the banking sector, which has been going through turbulence recently. As a result, he believes that the terminal rate will be lower than expected.

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