ECB

EURUSD, USDCAD Outlook: The upcoming non-farm payrolls report and Fed Chair Powell’s speech today are keeping markets on edge, poised to either confirm the steep trends or trigger a reversal at the weekly close

EUR/USD stages a four-day rally even as the European Central Bank (ECB) delivers a 25bp rate-cut.

The ECB are expected to cut their interest rate by 25bp to 2.5% today. But you wouldn’t think this was the case, given EUR/USD surged to a 4-month high on Wednesday amid its best 3-day run in 10 years.

EUR/USD may stage further attempts to test the January high (1.0533) ahead of the ECB interest rate decision as it snaps the series of lower highs and lows from last week.

EURUSD, Nasdaq Analysis: The EURUSD pair hesitates below the 1.05 mark as the Federal Reserve holds rates with confidence, while the Nasdaq maintains its bullish rebound despite mixed earnings reports.

Central banks are pulling back on rate cut signals, with the Fed, BoC, and Riksbank all hitting pause. With markets betting on aggressive ECB easing, could traders be caught offside if the script changes?

EUR/USD trades near the weekly low (1.0382) ahead of the European Central Bank (ECB) meeting as the Federal Reserve keeps the US benchmark interest rate at 4.25% to 4.50%.

Major central banks may further adjust monetary policy in 2025 as the European Central Bank (ECB) insists that ‘the disinflation process is well on track,’ but the Federal Reserve may change gears at a slower pace as Chairman Jerome Powell and Co. forecast less rate-cuts for next year.

EUR/USD bears have taken a swing and the pair is now working on its 13th red day in the past 14. And before that, bulls were persistently pushing into the 1.1200 handle so the contrast is stark. The question now is how dovish the ECB sounds at tomorrow’s widely-expected rate cut.

EURUSD Forecast: In addition to the strength of the dollar between haven factors and moderated expectations of monetary easing, dovish expectations surrounding the ECB’s upcoming monetary policy decision are putting additional pressures on the Euro.

Conditions for euro bears have been ripe for the past three weeks with renewed bets of an ECB cut alongside scaled-back bets of ECB easing. But given the depth of the selloff on EUR/USD, it could be vulnerable to a bounce unless a dovish cut is delivered.

Everyone has been dunking on the euro and buying US dollars recently, explaining why EUR/USD has continued to sink. But with sentiment towards the common currency so dire, it won’t take much to spark a short squeeze. With major risk events approaching, the temptation to square up short trades may prove too appealing for some.

EUR/USD may consolidate ahead of the European Central Bank (ECB) interest rate decision on October 17 as the exchange rate holds above the weekly low (1.0900).

EURUSD Outlook: As the market leans toward a 25bp rate cut in the upcoming Fed decision, the US Dollar remains stable against the EURUSD, which is expected to face additional headwinds as the ECB approaches its own rate decision, also signaling a potential 25bp rate cut.

EUR/USD has managed to recoup some of last week’s losses as we head into Friday’s nonfarm payroll report. But for it to stand any chance of to a fresh YTD high, US CPI likely needs to continue softening and the ECB surprise with a less-than-expected dovish cut on Thursday.

EURUSD, DXY Analysis: With the US Dollar Index (DXY) holding above its December 2023 support, a significant drop in Spanish inflation rates, and a general cooldown in energy prices, the EURUSD is poised for heightened volatility as the market begins to price in September's monetary policies ahead of August's monthly close.

Crude Oil Analysis: Amid growing haven demand for precious metals, geopolitical tensions have brought supply disruptions to the forefront, sharply lifting oil prices from their yearly lows.