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EUR/USD breaks below 1.1550 due to risk-off sentiment

  • EUR/USD retreated from 1.1631, the highest since October 2021.
  • The Euro struggles due to rising safe-haven demand following Israel's preemptive attack on Iran.
  • President Trump threatened to extend steel tariffs on imported “steel derivative products” beginning June 23.

EUR/USD halts its four-day winning streak, pulling back from 1.1631, the highest since October 2021, and currently trading around 1.1530 during the Asian hours on Friday. The pair depreciates as the US Dollar (USD) receives support as traders move toward improved safe-haven demand, sparked by rising tensions in the Middle East.

Israel attacked dozens of sites across Iran to dismantle its nuclear program. Israeli Minister of Defense Israel Katz said that Israel may face a missile and drone attack following Israel's preemptive attack on Iran. Katz declared a special state of emergency in the country, per Axios.

Moreover, White House Secretary of State Marco Rubio released a statement that “Tonight, Israel took unilateral action against Iran. We are not involved in strikes against Iran, and our top priority is protecting American forces in the region.” “President Trump and the Administration have taken all necessary steps to protect our forces and remain in close contact with our regional partners.” Let me be clear: Iran should not target US interests or personnel,” Rubio added.

However, the downside of the EUR/USD pair could be restrained as the US Dollar (USD) may struggle after US President Donald Trump’s new threat of expanding steel tariffs starting June 23 on imported “steel derivative products” such as household appliances, such as dishwashers, washing machines, refrigerators, etc. The tariffs were initially imposed at 25% in March and later doubled to 50% for most countries. This is the second time the scope of affected products has been expanded.

The Greenback faces additional downward pressure, driven by softer-than-expected consumer and producer inflation data, which reinforced expectations for further interest rate cuts by the Federal Reserve this year. The US Michigan Consumer Sentiment will be eyed later in the day.

Euro PRICE Today

The table below shows the percentage change of Euro (EUR) against listed major currencies today. Euro was the weakest against the Swiss Franc.

USDEURGBPJPYCADAUDNZDCHF
USD0.48%0.45%-0.06%0.24%0.88%0.85%-0.24%
EUR-0.48%0.00%-0.46%-0.18%0.49%0.35%-0.73%
GBP-0.45%-0.01%-0.54%-0.26%0.39%0.32%-0.72%
JPY0.06%0.46%0.54%0.30%0.93%0.88%-0.20%
CAD-0.24%0.18%0.26%-0.30%0.62%0.62%-0.46%
AUD-0.88%-0.49%-0.39%-0.93%-0.62%-0.05%-1.11%
NZD-0.85%-0.35%-0.32%-0.88%-0.62%0.05%-1.05%
CHF0.24%0.73%0.72%0.20%0.46%1.11%1.05%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Euro from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent EUR (base)/USD (quote).

Author

Akhtar Faruqui

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

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