Parity is the next level of meaningful support.
The move in EUR/USD is lending a broad bid to the US dollar.
There’s no obvious catalyst for the move in the euro but a few things are being cited:
German bunds are bid, with yields down 7.2 bps compared to flat trading in US Treasuries, though that could change when US traders return from holiday in a few hours.
EUR/CHF has broken parity and the Swiss National Bank looks to be out of the game
European benchmark natural gas prices are up another 6.3% and at the highest since the brief March spike. There are growing fears that Russia will cut off the continent, ensuring a brutal winter and the collapse of some industries.
This article was written by Adam Button at www.forexlive.com.