On Thursday, the EUR/USD remains at multi-month support, according to EBC. Today is the deadline for the chief’s address.
Despite the Fed’s minutes, the US currency has risen, indicating a dovish perspective on rate hikes in the near term.
The Euro is under pressure as risk sentiment dwindles because to the Delta variant’s rising corona instances.
On Thursday early Asian trading, the EUR/USD continued its downward trend from the previous two days. The pair took refuge near 1.1795, a multi-month low.
The EUR/USD currency pair is currently trading at 1.1790, up 0.01 percent on the day.
Despite the Fed’s softer attitude on rate hikes and concerns about the economy’s recovery, the US Dollar Index (DXY), which gauges the greenback’s performance versus six major rivals, maintained steady at a 13-week high.
Concerns about increased corona cases worldwide because to the highly transmissible Delta variety, which threatens global economic recovery, keep investors committed in the US dollar.
The euro, on the other hand, is trading flat ahead of ECB President Christine Lagarde’s announcement of the central bank’s revised inflation objective of 2%, up from the previous “below” but close to 2%.
The ECB raised its Eurozone GDP forecasts for 2021 and 2022, citing an improved health situation and stronger economic activity in Q1. In 2021 and 2022, the Eurozone is predicted to grow at 4.8 percent and 4.5 percent, respectively, compared to 4.3 percent and 4.4 percent in May. Despite the upward expectations, the single currency remained unaffected./n
