The euro has come under mild pressure in recent days, weighed down by the dollar’s rebound and the lack of progress on Ukraine. Today’s spotlight is firmly on Powell. If he manages to steer market expectations back toward a coin-flip for a September rate cut, EUR/USD could slip towards the 1.1500 support zone — a key level that i think is unlikely to give way in the near term.
However, a clear shift in Powell’s tone toward the dovish side could lift EUR/USD back into the 1.18s, eventually opening the path towards 1.20.
Over the longer run, the outlook for the euro remains constructive. The ECB is largely finished with rate cuts, while Germany is rolling out a sizeable fiscal programme. Although the stimulus may only begin to show modest results later this year, its full impact is expected to become more meaningful in 2026 and beyond.
By Fawad Razaqzada, market analyst with FOREX.com
However, a clear shift in Powell’s tone toward the dovish side could lift EUR/USD back into the 1.18s, eventually opening the path towards 1.20.
Over the longer run, the outlook for the euro remains constructive. The ECB is largely finished with rate cuts, while Germany is rolling out a sizeable fiscal programme. Although the stimulus may only begin to show modest results later this year, its full impact is expected to become more meaningful in 2026 and beyond.
By Fawad Razaqzada, market analyst with FOREX.com
Pernyataan Penyangkalan
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Pernyataan Penyangkalan
Informasi dan publikasi ini tidak dimaksudkan, dan bukan merupakan, saran atau rekomendasi keuangan, investasi, trading, atau jenis lainnya yang diberikan atau didukung oleh TradingView. Baca selengkapnya di Ketentuan Penggunaan.