EURUSD fell around 0.5% in early Monday trading, deflated by stronger dollar on growing expectations for Fed rate hike, as well as safe haven buying on the latest warning that pace of AI development must slow to prevent threats to humanity that resulted in strong drop in AI-linked stocks.
The EUR/USD has taken a drop today with the pair coming under pressure from rising energy prices and a rebounding US dollar ahead of the FOMC rate decision, where a hike is all but priced in now. We have a few other central bank meetings and some important data to look forward to as well.
EUR/USD sits near 1.1610, just off a one-month low, as tomorrow's Fed decision looms as the week's true catalyst. The ECB delivered its second hike of the year on September 10, lifting the deposit rate to 2.50% and warning that Middle East-driven inflation pressures will keep price growth well above target for an extended period.
Euro managed to hit drop correction toward target and support 1.1570 while market still holding above this support since last week As we see over the chart and as long as market holding above this support a rebound toward 1.1710 is likely Below 1.1570 a farther drops toward 1.1460-80 is likely SUPPORT RESISTANCE LEVEL1 […]
EUR/USD breaks bearish – Is 1.15 next as Gold and Silver turn heavy? [Video]
Euro: Support at 1.1565 watched against US Dollar – UOB
Fed hike expectations support the dollar as DXY breaks above 99.26, while EUR/USD and GBP/USD weaken ahead of key Fed and BoE decisions.
EUR/USD Price Forecast: Slides to four-week low as hawkish Fed bets accelerate
EUR/USD trapped below resistance — Can buyers force a breakout?
The Euro failed to settle above 1.1650 against the US Dollar. EUR/USD corrected some gains and traded below 1.1620 to move into a consolidation zone.
EUR/USD has struggled to build on the rebound from the July low, with recent price action reflecting a lack of conviction on either side. This week's ECB rate hike and hawkish guidance did little to resolve the stalemate, leaving the Euro searching for a fresh directional catalyst.
Stronger core inflation favours MUFG's bearish Euro scenario, with the bank now expecting a September Fed hike and EUR/USD closing below 1.16. The Euro to Dollar (EUR/USD) exchange rate closed Friday near 1.1599, down 0.10% on the day, as stronger US core inflation reinforced expectations of a Federal Reserve rate increase.