EUR/USD trade well within a 1.0680-1.0780 range

EUR/USD may trade well within a 1.0680-1.0780 range based on tomorrow's BoC meeting. EUR/USD has lost traction and has broken below 1.0700 after hovering around this level for the first half of the day. Mixed announcements from the eurozone have made it difficult to find demand for the euro, while caution in the market has supported the US dollar. 

It May Be Premature to Expect EUR/USD to Join Yesterday's Rise Further

It may be premature to expect the EUR/USD to contribute to yesterday's gains as US 2-year Treasury yields have held about three-quarters of their gains since Friday's jobs report.

EUR/USD could trade well within the 1.0680-1.0780 range until tomorrow's Bank of Canada meeting. It could also draw clues from this week's Chinese data, including tomorrow's May trade data and the composite financial data later this week.