US Dollar Trades Rangebound Ahead of Tomorrow’s ECB Meeting

US dollar is trading rangebound, but mostly higher, ahead of tomorrow’s ECB meeting. Greenback is in wait and see mode as Forex traders wait on the decision and rhetoric out of the eurozone tomorrow. The dollar index is higher, though, and the US dollar is higher against most of its major counterparts.

Even though the dollar is higher against many of its major counterparts, and the dollar index is higher, the greenback is lower against the euro. Dollar is mostly rangebound as Forex traders await the outcome of tomorrow’s ECB policy meeting.

There are expectations that Mario Draghi will attempt to continue to try to “talk down” the euro in an effort to weaken the 19-nation currency without resorting to more stimulus. However, if it sounds like the ECB be adding stimulus soon, the greenback is likely to get a boost. Many expect the Federal Reserve to begin raising rates before the BOE or the ECB, and that policy divergence has been helping the greenback against its major counterparts recently.

At 14:36 GMT dollar index is up to 94.940 from the open at 94.831. EUR/USD is moving up to 1.1352 from the open at 1.1346. GBP/USD is down to 1.5442 from the open at 1.5445. USD/JPY is higher, gaining to 120.0450 from the open at 119.8370.

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