The EUR/USD just dropped 100 bips in one hour (from 2pm to 3pm eastern time) ?

I can't find any significant event that might explain its drop on the dailyfx site.

Anyone has any idea what caused it ?

This happened due to a rumor that Fed-Watcher Jon Hilsenrath is going to release an article in which he states that the Fed will reduce QE3 in the near future.

After that, the Dollar startet to rally so the Euro consequently dropped accordingly.

But bottom line, it was only a rumor, so called 'Floor talk', which happens time and again...

Daytrader999 

This happened due to a rumour that Fed-Watcher Jon Hilsenrath is going to release an article in which he states that the Fed will reduce QE3 in the near future. After that, the Dollar startet to rally so the Euro consequently dropped accordingly. But bottom line, it was only a rumour, so called 'Floor talk', which happens time and again...

Thanks for the explanation.

If someone can just start a rumor and make the EUR/USD move 100 bips then that someone can make tens of millions of dollars in one hour !

AutoTrader 

If someone can just start a rumor and make the EUR/USD move 100 bips then that someone can make tens of millions of dollars in one hour !

Well, in this case it was not just 'someone', rather than a particular Fed-Insider with much more meaningfulness...

AutoTrader 

The EUR/USD just dropped 100 bips in one hour (from 2pm to 3pm eastern time) ? I can't find any significant event that might explain its drop on the dailyfx site. Anyone has any idea what caused it ?

An hour is eternity in trading. What shocks you so much and why you looking for an explanation?
This could be a hedge fund liquidation, a hedger taking on a new longer term position, a huge cash conversion for a foreign entity payroll, etc.

It seems it was indeed a rumor started by a tweet by Andrew Yorks (who is he ?):

"QE-Off Rumor?" Bonds Down, Stocks Down, Gold Down | Zero Hedge

It's still puzzling that just a rumor can move the EUR/USD as much as an announcement by Bernie or Mario.
As I said before, the big sharks can make a lot of money this way.

AutoTrader 

It seems it was indeed a rumor started by a tweet by Andrew Yorks (who is he ?): "QE-Off Rumor?" Bonds Down, Stocks Down, Gold Down | Zero Hedge It's still puzzling that just a rumor can move the EUR/USD as much as an announcement by Bernie or Mario. As I said before, the big sharks can make a lot of money this way.

Amazing how the Algo world took over and all these machine reading news are affected by one twit.