Trusted by over 15 Million Traders
The Most Awarded Broker
for a Reason
CATEGORIES
News
- President Trump puts further pressure on the Fed, U.S. non-farms become the focu
- Profits of $15 billion evaporated! Global companies are in a "tariff storm"
- Federal Reserve officials refute expectations of a sharp rate cut in September,
- 8.14 Analysis of the latest trends of gold and crude oil market and today's excl
- Oil prices rose by more than 3%, gold price 3330 mark is waiting for Federal Res
market analysis
Trump's words disrupted the foreign exchange market. Can the euro continue to rise?
Wonderful introduction:
Love sometimes does not require the promise of eternal love, but it definitely needs meticulous care and greetings; love sometimes does not need the tragedy of Butterfly Lovers, but it definitely needs the tacit understanding and congeniality of the heart; love sometimes does not need the following of male and female, but it definitely needs the support and understanding of each other.
Hello everyone, today XM Forex will bring you "[XM Foreign Exchange Decision Analysis]: Trump's words disrupted the foreign exchange market, can the euro continue to rise?". Hope this helps you! The original content is as follows:
During the Asia-Europe period on Friday, the EURUSD gave up its gains during the day before the opening of US stocks. It is currently trading around 1.1677, having hit a high of 1.1727 earlier in the day. Still, the pair is on track for a 0.6% weekly gain against the dollar's weakness.
Affected by Trump’s latest tariff remarks on social platforms on Friday night, market concerns decreased, and the U.S. dollar index rose by 20 points. Affected by this, the euro fell. Whether the euro can continue to rebound after its setback, the following is the recent market information.
Euro data supports the end of the central bank’s interest rate cut cycle
Euro zone data released on Friday showed that consumer prices rose 0.1% month-on-month in September, the same as August; year-on-year inflation growth rose to 2.2% from 2% last month. It is worth noting that the core Harmonized Consumer Price Index (HICP) year-on-year increase was revised up to 2.4% from the previous estimate of 2.3%, the highest level since April this year.
The above data confirms the statements of European Central Bank (ECB) officials Wensch and Kocher on Thursday - both pointed out that the European Central Bank may be at the end of its interest rate cutting cycle, or it may be very close to this point.
On Thursday, European Central Bank President Pierre Wunsch said that the possibility of further interest rate cuts is gradually declining; while European Central Bank President Martin Kocher confirmed that the central bank is "at the end of the interest rate cutting cycle, or very close to it."
The trade situation and signals from the Federal Reserve to cut interest rates have suppressed the trend of the US dollar
As the trade situation between China and the United States continues to ferment, signals from the Federal Reserve that it may cut interest rates multiple times in the www.xmh100.coming months continueThe www.xmh100.combined impact of factors such as an increase in government funding negotiations and the lack of progress in government funding negotiations (meaning that the U.S. government shutdown may last for a longer period of time), although Trump's remarks on trade on social platforms on Friday night boosted the U.S. dollar in the short term, the U.S. dollar is still expected to have its worst weekly performance in months.
Earlier this week, the Federal Reserve's "Beige Book" further put pressure on the U.S. dollar. The report clearly warned that the U.S. economy is facing the risk of slowing down: consumer spending is beginning to show signs of weakness, the labor market is showing signs of stagnation, and www.xmh100.companies are expressing concerns about the uncertainty of the economic outlook and the impact of tariff increases.
The easing of the political situation in France will support the euro in the short term
The euro has shown a slight upward trend in the past few trading days as investors breathed a sigh of relief at the elimination of recent political uncertainty in France. Prime Minister Sébastien Le Corny was reappointed as prime minister after his unexpected resignation and on Thursday withstood two no-confidence votes, an outcome that eased concerns about uncertainty about France's political future and provided additional support for the euro.
At the same time, significantly suppressed by expectations of further interest rate cuts by the Federal Reserve, the dollar's upside potential is limited. Federal Reserve Governor Christopher Waller made it clear on Thursday that he supports another interest rate cut in October; while Stephen Millan, a member of the Federal Reserve Board of Governors recently nominated by Trump, reiterated the need for more aggressive interest rate cuts.
The concessions he made on the 2026 budget received a positive response from the Socialists, which also makes the government's budget bill expected to successfully www.xmh100.complete the legislative process. However, major challenges remain, especially the delay in raising the retirement age - France's current retirement age is set at 62 years old, and it will not be adjusted until at least January 2028 (currently tied for the lowest among EU member states). He still needs to push the austerity budget bill through the deeply divided parliament before the end of the year, which remains a difficult challenge.
This situation is not a long-term good sign for the euro zone, because in the context of serious government divisions, the failure of the authorities to pass such key pension reforms will lead to a heavier burden on taxpayers to support an increasingly imbalanced demographic structure (the elderly population accounts for an excessively high proportion).
This may not only push up the risk premium of debt, but will also limit the government’s policy space to support economic growth through expanding fiscal spending.
Technical analysis:
As mentioned before, 1.1600 is the dividing line between long and short. After the EURUSD held 1.1600, it continued to rise and broke through the downward pressure line.
Currently suppressed by the 20 and 30-day moving averages, it has regained its upward trend in the short term, with support at 1.1600 and the downward pressure line.
The pressure is in the early transaction intensive area near 1.1720.
The above content is all about "[XM Foreign Exchange Decision Analysis]: Trump disrupted the foreign exchange market with one sentence, can the euro continue to rise?" It was carefully www.xmh100.compiled and edited by the editor of XM Foreign Exchange. I hope it will be helpful to your trading! Thanks for the support!
Every successful person has a beginning. Only by having the courage to start can you find the way to success. Read the next article now!
Disclaimers: XM Group only provides execution services and access permissions for online trading platforms, and allows individuals to view and/or use the website or the content provided on the website, but has no intention of making any changes or extensions, nor will it change or extend its services and access permissions. All access and usage permissions will be subject to the following terms and conditions: (i) Terms and conditions; (ii) Risk warning; And (iii) a complete disclaimer. Please note that all information provided on the website is for general informational purposes only. In addition, the content of all XM online trading platforms does not constitute, and cannot be used for any unauthorized financial market trading invitations and/or invitations. Financial market transactions pose significant risks to your investment capital.
All materials published on online trading platforms are only intended for educational/informational purposes and do not include or should be considered for financial, investment tax, or trading related consulting and advice, or transaction price records, or any financial product or non invitation related trading offers or invitations.
All content provided by XM and third-party suppliers on this website, including opinions, news, research, analysis, prices, other information, and third-party website links, remains unchanged and is provided as general market commentary rather than investment advice. All materials published on online trading platforms are only for educational/informational purposes and do not include or should be considered as applicable to financial, investment tax, or trading related advice and recommendations, or transaction price records, or any financial product or non invitation related financial offers or invitations. Please ensure that you have read and fully understood the information on XM's non independent investment research tips and risk warnings. For more details, please click here