Forex
Citi Sees Euro Rising to Summer Highs After Fed Decision
Citi strategists predict that if the Federal Reserve's decision next week triggers a 'sell the news' reaction in the dollar, the EUR/USD could retest its summer highs near 1.17.
A 'dovish hike' from the Fed is seen as the most likely outcome, which could weigh on the dollar tactically if traders respond by selling the currency following the decision.
The euro has found support around 1.1575, a level that marked the high following the post-Liberation Day rally and has since acted as an important pivot within the pair's roughly 1.14-to-1.18 range over the past year.