Yesterday, the euro rose in the European market, supported by rising stock prices, reaching 1.0457. However, U.S. long-term interest rates fell. When the Chicago Purchasing Managers’ Index was released and came in below expectations, the euro was briefly bought, but dollar buying during the London fixing pushed the euro down to 1.0372. Later, the euro returned to the 1.04 level, but it struggled to rise further.
This year, the euro started around the 1.09-dollar level and rose to the low 1.12 range. Expectations for Federal Reserve rate cuts supported the euro earlier in the year, but later, the European Central Bank’s aggressive rate-cutting stance caused it to weaken. Concerns about European economic growth, triggered by tariff increases from the Trump administration, added to the downward pressure. Political instability in Germany and France further accelerated euro selling, leading to the current low levels.
Predicted Euro-Dollar Range: 1.0520–1.0300
Note: The above information does not guarantee profits. Please make your own decisions when trading.