“US President Joe Biden said he expects to meet with Congressional leaders Tuesday for talks on a plan to raise the nation's debt limit and avoid a catastrophic default,” reported Reuters early Monday in Asia.

The news also adds that US President Biden said he is optimistic about the talks while adding, “I still plan to go to Japan on Wednesday.”

Reuters also reported that US President Biden had been scheduled to meet with lawmakers on Friday but the meeting was postponed.

FX implications

Given the fresh optimism about the US debt ceiling talks, the news prods the previous risk-off mood and allows the US Dollar bulls to take a breather. However, the likely difference among the policymakers’ seem to keep the sentiment mixed, which in turn weigh on the EUR/USD price, steady near 1.0855 by the press time.

Also read: EUR/USD licks its wounds around 1.0850 with eyes on EU economic projections, US debt ceiling talks