Forex

Euro holds above two-week lows amid positive outlook

2022-07-04 12:49:32 GMT (Economies.com)

Euro rose in European trade against major rivals off two-week lows against dollar amid positive outlook for ECB rate hikes.

 

Dollar is also declining against most rivals as Fed rate estimates reach a peak and round out following the June's meeting.

 

EUR/USD rose 0.25% to 1.0445, with a session-low at 1.0417, after falling 0.5% on Friday to two-week lows at 1.0366.

 

Euro lost 1.2% last week against dollar, the fourth weekly loss in a row on divergent policies between Europe and the US.

 

Positive Outlook 

 

ECB members expect their ability to control inflation without causing a recession.

 

The remarks bolster similar statements by ECB President Christine Lagarde, which paved the way for a 0.25% rate hike at the July meeting, and a similar one at the September meeting. 

 

The Dollar

 

The dollar index fell 0.2% on Friday off two-week highs at 105.64 against a basket of major rivals. 

 

Recent data showed the US manufacturing PMI declined sharply to 53 from 56.1, bolstering the case for US recession in the second quarter.

 

ECB's last meeting minutes will be released soon and will offer clues on the path forward in monetary policies. 

More News

Risk Disclaimer : Economies would like to remind you that the data provided in this site is not necessarily in real time or accurate. All stock prices, indices, futures and foreign exchange rates are not provided by exchanges but by market makers, so prices may not be accurate, may differ from the price of the actual market, which means that the quotes represent an indication and are not suitable for commercial purposes. Therefore Economies does not assume any responsibility for any business losses that may be incurred as a result of the use of this data.