EUR/USD gains ground as market sentiment leans back into rate cut expectations

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EUR/USD found some room on the high side on Wednesday, getting pushed up the charts by broad-market Greenback selling.

EUR/USD extended a recovery from the early week’s slump toward 1.0800. Rate cut expectations continue to drive broader market flows. EU data remains thin, US inflation figures to be key print for the week. Market sentiment has firmly recovered and leaned into renewed rate cut expectations after Federal Reserve Chairman Jerome Powell gave his own version of a dovish appearance while giving two-day testimony to US Congressional committees.

Without a definitive bullish break into fresh topside chart territory, price action is likely to get swamped out and begin making a fresh leg lower. EUR/USD hourly chart EUR/USD daily chart Euro FAQs What is the Euro? The Euro is the currency for the 20 European Union countries that belong to the Eurozone. It is the second most heavily traded currency in the world behind the US Dollar. In 2022, it accounted for 31% of all foreign exchange transactions, with an average daily turnover of over $2.

 

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