|

EUR/USD extends winning streak as Dollar slips ahead of key US House vote

  • EUR/USD extends gains, rising for the sixth straight day as the US Dollar recovery loses momentum.
  • Investors await a crucial US congressional vote to end the government shutdown.
  • Hawkish ECB commentary and stable German inflation underpin the Euro’s resilience.

The Euro (EUR) edges higher against the US Dollar (USD) on Wednesday, reversing earlier losses as the Greenback’s rebound loses steam ahead of a critical congressional vote to end the record-long US government shutdown. At the time of writing, EUR/USD is trading around 1.1589, extending its winning streak for the sixth consecutive day after bouncing off an intraday low near 1.1594.

The US House of Representatives is set to vote later on Wednesday on a bill to reopen the government and restore federal operations. House Majority Leader Steve Scalise told CNBC the vote is expected around 7 p.m. ET, following Monday’s 60-40 bipartisan approval in the Senate.

The progress has helped ease near-term fiscal concerns and lifted overall market sentiment. If the spending bill passes as planned, it will head to President Donald Trump for final approval. The measure would keep most federal agencies funded through January 30, 2026, while extending allocations for select departments until September 30, 2026.

On the Euro side, the single currency draws mild support from steady German inflation data and hawkish European Central Bank (ECB) rhetoric. Germany’s Harmonized Index of Consumer Prices (HICP) rose 0.3% MoM and 2.3% YoY in October, both matching forecasts and reinforcing expectations that Eurozone inflation remains broadly stable.

Meanwhile, ECB policymaker Isabel Schnabel noted earlier in the day that the bloc’s economy still shows “positive underlying momentum” and that “services inflation remains sticky.” She added that interest rates are “absolutely in a good place,” though inflation risks are “tilted slightly to the upside,” signaling the ECB is comfortable maintaining its current policy stance for now.

Looking ahead, traders will monitor developments in Washington as the shutdown vote unfolds, while focus in Europe shifts to Thursday’s Eurozone Industrial Production report. In the US, uncertainty over the release of delayed data, including the Consumer Price Index (CPI), keeps markets cautious on the Federal Reserve’s (Fed) monetary policy path.

US Dollar Price Today

The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the strongest against the Japanese Yen.

USDEURGBPJPYCADAUDNZDCHF
USD-0.12%0.21%0.37%-0.04%-0.13%-0.08%-0.44%
EUR0.12%0.33%0.48%0.08%-0.02%0.03%-0.33%
GBP-0.21%-0.33%0.18%-0.25%-0.34%-0.30%-0.65%
JPY-0.37%-0.48%-0.18%-0.40%-0.49%-0.46%-0.81%
CAD0.04%-0.08%0.25%0.40%-0.09%-0.05%-0.40%
AUD0.13%0.02%0.34%0.49%0.09%0.04%-0.31%
NZD0.08%-0.03%0.30%0.46%0.05%-0.04%-0.35%
CHF0.44%0.33%0.65%0.81%0.40%0.31%0.35%

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 US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).

Author

Vishal Chaturvedi

I am a macro-focused research analyst with over four years of experience covering forex and commodities market. I enjoy breaking down complex economic trends and turning them into clear, actionable insights that help traders stay ahead of the curve.

More from Vishal Chaturvedi
Share:

Editor's Picks

AUD/USD flatlines near 0.6965 as less hawkish RBA counters USD weakness

AUD/USD holds steady above a two-week low, trading near 0.6965 in the Asian session on Wednesday as early midterm election results heighten political uncertainty and weigh heavily on the US Dollar. Moreover, reviving safe-haven demand triggers a fresh leg down in US bond yields, offsetting Fed hike bets and exerting additional pressure on the buck. However, a less hawkish RBA caps the Aussie.

USD/JPY declines below 158.00 as USD weakens on midterm election results

USD/JPY comes under heavy selling pressure on Wednesday, dropping below 158.00 during the Asian session as the US Dollar slumps to a one-month low amid heightened political uncertainty after early US midterm vote counts. Moreover, the prospect of gridlock in Washington drives safe-haven flows, triggering a fresh leg down in US bond yields and further weighing on the buck.

Gold continues scaling new weekly highs; eyes $4,050 as US sticks to elections-led losses

Gold builds on its strong intraday move up, hitting a series of new weekly tops, and climbing back close to the $4,050 level during the first half of the European session amid a broadly weaker US Dollar. Democrats’ wins in the House and Senate raise the prospect of gridlock in Washington. Moreover, heightened political uncertainty drove investors to safe-haven assets, exerting some downward pressure on US bond yields. This is seen weighing on the Greenback and supporting the precious metal.

Bitcoin tests critical support, Ethereum struggles below resistance, XRP extends losses
Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) remain under pressure on Wednesday as bearish momentum continues to weigh on prices. BTC approaches key support around $76,466, and a decisive close below could open the door to deeper losses. Meanwhile, ETH struggles below key resistance while XRP faces rejection at the upper trendline of a falling channel pattern, all hinting at deeper losses.
ADP Employment Report expected to show slower job growth in October

The Automatic Data Processing Research Institute is due to release October’s private-sector employment report on Wednesday. The market consensus anticipates a moderate slowdown in job creation, with the ADP Employment Change expected to show 69K new private jobs in October, down from 90K in September.

The 2% inflation target came from a throwaway remark. It now moves trillions
The Federal Reserve's 2% inflation goal grew out of an off-the-cuff remark by a New Zealand politician in 1988. Bond investors still price long-term US debt as if 2% holds, so a change in how the Fed measures inflation would move markets.