Spain’s turmoil is not helping either.
The euro may not be able to hold above 1.17.
The euro is currently at the session low on Monday amid jitters about the political chaos in Spain. The Spanish region of Catalonia has declared that the region has “won the right” to independence. Spain’s central government does not recognize the referendum, and nor does much of the rest of the world.
Financial markets typically do not like uncertainty, so the situation hurts the euro the most.
Spain’s IBEX 35 is down about 1% today.
The spotlight in the FOREX market this week is the U.S. Non-farm Payrolls on Friday. An exceptionally great number should propel the U.S. dollar to advance even more against the other currencies, and should also confirm the rate hike in December.