FX Guys

Euro-Dollar Retreats, Where Next? December EUR/USD Outlook

December 1, 2023 – Written by Ben Hughes

The Euro to Dollar (EUR/USD) exchange rate came under significant pressure after Thursday’s European open as further evidence of a sharp decline in Euro-Zone inflation reinforced expectations of an early cut in ECB interest rates.

EUR/USD retreated to lows just below 1.0910 ahead of the New York open before stabilising.

Month-end position adjustment will trigger near-term volatility with markets then focussing on comments from Fed Chair…
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