After the US and Japan agreed on tariffs, people bought the US dollar, and the euro slowly went down to 1.1711. Later, US Commerce Secretary Ratnick said the US-Japan deal could be a model for an agreement with the EU. During New York trading time, news came out that the US and EU were close to agreeing on a 15% tariff. Because of this, the euro rose to 1.1775 by the end of the day.
However, the talks are still going on. Europe says that if they don’t reach a deal, they may place $100 billion in tariffs on the US. So, there is still risk in the market.
Today, there will be a European Central Bank (ECB) meeting. It is expected that the interest rate will stay the same. People are watching the official statement and what President Lagarde will say. Many think the ECB may cut interest rates again this year, so they expect a “soft” or “careful” message.
Right now, the euro is holding steady, but it probably won’t go much higher. The recent high of 1.1829 in July may be the top for now.
EUR/USD Expected Range: 1.1710 – 1.1830 USD
Note: This information does not guarantee profits. Please make your own decisions when trading.