On the 20th, U.S. Commerce Secretary Ratnick said, “I’m confident we can reach a trade deal with the EU.”
Yesterday, Treasury Secretary Bessent also said, “Our relationship with the EU is not bad,” which helped calm concerns about tariffs and encouraged buying of the euro.
Bessent also said, “If inflation goes down, interest rates should be lowered,” which caused U.S. long-term interest rates to fall. The euro even rose above 1.17 dollars for a short time.
However, there is still a chance the EU may place tariffs in response, so the trade talks may still be difficult.
Also, before the European Central Bank (ECB) meeting on the 24th, some people think the ECB might stop cutting interest rates. Because of this, the euro’s rise may be limited.
Around 1.1730, which is a 61.8% Fibonacci retracement level, is expected to be strong resistance.
Expected EUR/USD price range: 1.1650 – 1.1730
Note: This information does not guarantee profits. Please make your own decisions when trading.