The euro today traded mostly sideways with a bearish tilt as markets digested the less dovish message issued by Jerome Powell the US Fed Chairman during his speech yesterday. The EUR/USD currency pair traded in a tight range amid a lack of any major macro releases from the European docket.
The EUR/USD currency pair today traded in a range marked by a low of 1.1346 and a high of 1.1382 and was near these highs at the time of writing.
The currency pair’s performance today was largely driven by US dollar dynamics and investor sentiment amid a lack of any major fundamental releases. The pair was mostly range-bound but booked some losses earlier in today’s session as markets reacted to Powell’s moderately hawkish speech yesterday. The Fed Chair and member James Bullard both dashed investor hopes for a 50 basis point rate cut and the July FOMC meeting. The pair also fell slightly following the release of the disappointing German GfK consumer confidence survey for June in the early European session.
The pair fell in the early American session despite the release of the US durable goods orders for May by the Census Bureau, which missed expectations. The US advance goods trade balance also missed consensus estimates. The pair later rallied as the greenback fell against its peers as tracked by the US Dollar Index.
The currency pair’s future performance is likely to be affected by tomorrow’s multiple European and US releases.
The EUR/USD currency pair was trading at 1.1381 as at 15:43 GMT having risen from a low of 1.1346. The EUR/JPY currency pair was trading at 122.54 having rallied from a low of 121.80.
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Euro Trades Sideways as US Fed Dashes Rate Cut Expectations
