Home›Forex›Major Pairs›EUR/USD slips to 1.1377 as euro underperforms USD

EUR/USD slips to 1.1377 as euro underperforms USD

The pair fell 0.3% even after the ECB kept rates unchanged, with traders focusing on commentary that keeps a further tightening bias in view for September.

Reported · Written up by our desk · Major Pairs

EUR/USD weakened, slipping 0.3% to 1.1377 as the euro underperformed the US dollar, according to UOB Global Economics & Markets Research, cited by FXStreet.

FXStreet reports the move came despite the European Central Bank leaving rates unchanged, with President Lagarde acknowledging some calls for a hike that markets interpreted as a bias toward further tightening.

With September seen as a possible window for another ECB move, FXStreet says traders kept EUR/USD capped below 1.1400 in European trading, weighing the latest central bank signals.

The report also links a firmer US dollar to expectations of higher-for-longer US interest rates, noting geopolitical tensions in the Middle East have supported crude oil and fueled inflation concerns.

Latest closeWTI crude $92.23 ▲6.2%|EUR/USD 1.138 ▼0.2%

More like this

Sources