EUR/USD dives as the US Dollar outperforms with all eyes on the Fed decision
The post EUR/USD dives as the US Dollar outperforms with all eyes on the Fed decision appeared on BitcoinEthereumNews.com. The Euro accelerates its decline on Monday as investors analyze the details of the EU-US trade deal. Eurozone products face a 15% tariff in exchange for strong EU investment and large purchases of energy and military equipment from the US. The US Dollar maintains a moderate positive tone as US data backs the Fed’s hawkish stance. It was buy the rumour, sell the fact for the EUR/USD pair, which accelerated its reversal from last week’s lows on Monday’s Early European session. News that the European Union (EU) finally signed a trade agreement with the United States (US) has failed to provide any significant support to the Euro (EUR), while the US Dollar (USD) extends its recovery as investors brace for a hawkish Fed stance. The common currency has dropped about 120 pips so far on Monday and is on track for its worst daily performance in months. The pair was rejected at 1.1770 on early trading and is trading at 1.1650 ahead of the US session opening, with technical indicators deep into bearish territory. The European Commission President Ursula von der Leyen signed a pact with the US President Donald Trump, which will reduce tariffs on European products to 15%, half of the 30% rate announced by Trump earlier in July. In exchange, the Eurozone has committed to invest EUR 600 billion in the US and ramp up purchases of Gas and military equipment. The deal has been unable to alter the recent balance of power between the Euro and the US Dollar, with the latest supported by relatively upbeat US data, which backs the Federal Reserve’s (Fed) “wait and see” stance and practically discards any interest rate change after this week’s monetary policy decision. The economic calendar is thin today, with only the Dallas Fed Manufacturing Business Index providing…
The post EUR/USD dives as the US Dollar outperforms with all eyes on the Fed decision appeared on BitcoinEthereumNews.com.
The Euro accelerates its decline on Monday as investors analyze the details of the EU-US trade deal. Eurozone products face a 15% tariff in exchange for strong EU investment and large purchases of energy and military equipment from the US. The US Dollar maintains a moderate positive tone as US data backs the Fed’s hawkish stance. It was buy the rumour, sell the fact for the EUR/USD pair, which accelerated its reversal from last week’s lows on Monday’s Early European session. News that the European Union (EU) finally signed a trade agreement with the United States (US) has failed to provide any significant support to the Euro (EUR), while the US Dollar (USD) extends its recovery as investors brace for a hawkish Fed stance. The common currency has dropped about 120 pips so far on Monday and is on track for its worst daily performance in months. The pair was rejected at 1.1770 on early trading and is trading at 1.1650 ahead of the US session opening, with technical indicators deep into bearish territory. The European Commission President Ursula von der Leyen signed a pact with the US President Donald Trump, which will reduce tariffs on European products to 15%, half of the 30% rate announced by Trump earlier in July. In exchange, the Eurozone has committed to invest EUR 600 billion in the US and ramp up purchases of Gas and military equipment. The deal has been unable to alter the recent balance of power between the Euro and the US Dollar, with the latest supported by relatively upbeat US data, which backs the Federal Reserve’s (Fed) “wait and see” stance and practically discards any interest rate change after this week’s monetary policy decision. The economic calendar is thin today, with only the Dallas Fed Manufacturing Business Index providing…
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