Risk appetite remains downbeat as geopolitical and crude oil prices heat up further. These factors are continuing to feed into broader market sentiment, pressuring equity markets while simultaneously supporting the US dollar.
The EUR/USD forecast remains bearish as geopolitical tensions intensify and crude oil prices surge. Markets reacted after Mojtaba Khamenei confirmed that the closure of the Strait of Hormuz could remain in place as a strategic tool against adversaries.
EUR/USD extends losses as US-Iran war boosts US Dollar demand
The Euro traded near 1.1550 against the Us Dollar on Wednesday, with the pair remaining below the 1.16 level as the US dollar gained support from rising oil prices and renewed geopolitical tensions in the Middle East. Latest — Exchange Rates:Pound to Euro (GBP/EUR): 1.15864 (-0.06%)Pound to Dollar (GBP/USD): 1.33857 (+0.02%)Euro to.
The Euro managed to retreate from the resistance of 1.1655 whilst closing from the support at 1.1500 which could push for a rebound. As we see from the chart and if prices hold below the said resistance, the pressure will still affect the market for a further drop towards 1.1400.
EURUSD hits resistance The dollar continues to keep its edge over the euro as prices hit another low. The pair is testing the current psychological area of 1.1600 after a heavy rejection.
EUR/USD: Downside risks with 1.150 in focus – ING
EUR/USD Price Forecast: Holds losses near 1.1550 as bearish bias prevails
The Euro to Dollar exchange rate traded near 1.1548 on Thursday after falling sharply earlier in the week, with the pair sliding to lows near 1.1507 as energy prices surged and market sentiment deteriorated. Brent crude pushed back above $90 per barrel in early European trading, reigniting inflation fears and pushing European bond yields.
The EUR/USD exchange rate continued its strong downward trend this week. It dropped for three consecutive days, reaching a low of 1.1545, down from the year-to-date high of 1.2080.
EUR/USD: Real rate shock weighs on Euro – OCBC
EUR/USD slips below 1.1550 as US Dollar gains on heightened inflationary risks