- USD weakness boosts EUR/USD
- EU bond sale pulls huge demand.
- Retail trader sentiment shows a bullish bias.
The initial SURE bond sale today pulled a strong crowd with demand tenfold the amount of bonds for sale. The European Union’s first joint debt scheme, the Support to mitigate Unemployment Risks in an Emergency bonds, attracted demand exceeding €233 billion for €17 billion on bonds on sale.
Breaking this down further, the 10-year drew €145 billion of demand on €10 billion on offer.The 20-year attracted demand of €88 billion, according to Reuters.
The US dollar basket (DXY) remains weak as it draws towards a one-month support at 93.000 The ongoing dispute over the covid relief bill is closing in on the October 20 deadline imposed by House Speaker Nancy Pelosi. The near-term outlook of the US Dollar will be directed by the outcome of the talks.