EUR/USD Exchange rate
Editors’ Picks
EUR/USD drops below 1.0800 as USD gathers strength
EUR/USD came under renewed bearish pressure and dropped to a fresh three-week low below 1.0800. Following the mixed macroeconomic data releases from the US, the cautious market stance helped the US Dollar find demand and weighed on the pair.
GBP/USD falls to fresh weekly low below 1.2600
GBP/USD turned south in the American session and declined to a weekly low below 1.2600 on Tuesday. Following a quiet European session, the US Dollar started to gather strength and forced GBP/USD to extend the daily slide.
Gold extends slide, more pressure seen under $2,010 Premium
Following Monday's decline, Gold struggled to stage a convincing rebound and retreated below $2,020 in the second half of the day on Tuesday. Although the benchmark 10-year US Treasury bond yield is down more than 1%, renewed USD strength doesn't allow XAU/USD to limit its losses.
Bitcoin price eyes $45,000 target ahead of BTC halving in April 2024
Bitcoin price climbed past $41,000 as BTC holders await green light for Spot Bitcoin ETF. BTC price rally to $45,000 is likely prior to the fourth halving event, according to a crypto analyst.
NIO shares jump more than 5% as JOLTS data falls
Nio (NIO) stock jumped 5.5% on Tuesday morning to $7.72 after the Chinese electric vehicle (EV) manufacturer released third-quarter earnings that showed sales of higher margin SUVs surged 258% from the most recent quarter and 64% from a year ago.
Majors
Cryptocurrencies
Signatures
THE MOST TRADED CURRENCY PAIR
The EUR/USD (or Euro Dollar) currency pair belongs to the group of 'Majors', a way to mention the most important pairs in the world. The popularity of Euro Dollar is due to the fact that it gathers two main economies: Europe and the United States of America. This is a widely traded currency pair where the Euro is the base currency and the US Dollar is the counter currency. Since the EUR/USD pair consists of more than half of all the trading volume worldwide in the Forex Market, it is almost impossible for a gap to appear, let alone a consequent breakaway gap in the opposite direction.
The EUR/USD reached an all time high of 1.6038 in July 2008 and a record low of 0.8231 in October 2000.
EUR/USD FORECAST 2023
In her article “EUR/USD Price Forecast 2023: Control inflation or avoid recession? Is there a recipe for success?” published at the end of the year 2022, Valeria Bednarik talks about the EUR/USD Forecast and explains that "financial markets will continue to depend on inflation and economic growth". "EUR/USD long-term corrective advance will likely continue in the first quarter of 2023".
The EUR/USD pair kickstarted 2022 with a weak tone, but at the time, nobody would have imagined it would end up bottoming at 0.9535. Financial markets were generally optimistic about the post-pandemic economic comeback, despite some residual aftertaste mostly linked to putting back the global machine in motion. Heading into 2023, there is uncertainty over central banks succeeding in guiding economies into a soft landing.
MOST INFLUENTIAL CURRENCIES FOR EUR/USD
The EUR/USD pair can also be impacted by other currencies, in particular GBP, CAD, JPY, CNY, and AUD. This group also includes the following currency pairs: GBP/USD, USD/JPY, AUD/USD, USD/CHF, NZD/USD, USD/CAD, GBP/JPY and EUR/JPY
MOST INFLUENTIAL ORGANIZATIONS FOR EUR/USD
The organization that most impact has nowadays the EUR/USD is the Federal Reserve, the central banking system of the United States of America created with the enactment of the Federal Reserve Act, after a series of financial panics led to the desire for central control of the monetary system in order to alleviate financial crises. Jerome Powell is Fed's Chair, serving in that office since February 2018.
The Board of Governors (also known as the Federal Reserve Board) is carefully observed. The board meets several times per year and announces the interest rates. If rates remain unchanged, attention turns to the tone of the FOMC (Federal Open Market Committee) statement. Also particularly significant are the 12 Federal Reserve Banks that make up the Federal Reserve. These Federal District Reserve Districts issue their own statements and research data that give hints about the health of the US economy and might as well influence dollar-related currency pairs.
The US Government is as well an institution of great importance for the EUR/USD pair: events as administration statements, new laws and regulations or fiscal policy can increase or decrease the value of the US Dollar and the currencies traded against it.
Not only American institutions influence the EUR/USD pair, European too of course. And the number one organization is the European Central Bank, which is the central bank for the euro and administers monetary policy within the Eurozone, comprising 19 member states of the European Union and is one of the largest monetary areas in the world. ECB's main objective is to maintain price stability for the Euro while setting and implementing the monetary policy for the Eurozone (including interest rates). It also conducts foreign exchange operations and takes care of the foreign reserves of the European System of Central Banks. Christine Lagarde is ECB's President since November 2019.