G20 finance ministers meet amid 'currency war' fears

G20 finance ministers meet amid 'currency war' fears

 All the eyes focus on today’s G20 meeting.

Finance ministers of the G20 and central bankers begin talks in the Russian capital today to find some common ground on currencies, with investors seeking clarity on how comfortable they are with a sliding yen.

Russia, who holds the G-20’s presidency this year, wants to discuss the global currency war and trying to avoid it by pushing policy makers to make serious commitments against exchange-rate manipulation, and to support market-based exchange rates.
As Japan is maintaining a weaker yen, the Japanese yen has seen a big decline, while the euro has risen against a basket of currencies.
Furthermore, the G20 has previously asked nations to refrain from market intervention.
The head of the European Central Bank, Mario Draghi, attempted to reduce talks about currency wars ahead of the meeting,

The market also has witnessed the drop of the Gold prices during today’s trading sessions to record a low of $1607 per ounce, which is almost the lowest level since 6 months; by contrast, the US Dollar continued to rise on the currency market.

So we will wait the meeting decisions for today and tomorrow to see how it will affect the market prices direction.

And of course we will update you with the meeting decisions the weekly forecast of the EUR/USD on the next week


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