Although the US administration put off the potential hike in tariffs on European automobile imports, concerns still remain. Compared to the 22% duty on US car imports to the eurozone, the US currently has a 2.5% duty on automobile imports. Concerns about a hike in tariffs saw the European equity markets closing in the red on Monday.
EURUSD Stays Subdued
Price action in the EURUSD currency pair was subdued on Monday. The euro managed to close with some modest gains forming a possible spinning bottom pattern. A bullish follow- through is required in order to confirm a short term correction to the upside. Price is, however, likely to extend lower to test the 1.1140 support.
