The beginning of summer on the interbank lending market in London brings only disappointment to the dollar – the benchmark three-month Libor rate has renewed its historical minimum again. The overnight rate, which is also an important credit indicator for banks, has renewed its historical minimum.

All these processes indicate a substantial surplus of dollar liquidity in the financial system. The surplus of dollars will increase today, inasmuch as in the evening the US Treasury will carry out operations to redeem $24 billion in Treasury bonds. Against this background, I expect the EURUSD quotes to rise to the area of last week’s maximum.

Trading recommendation: Buy 1.2200/1.2180 and take profit 1.2265.