A Bloomberg survey indicates the European Central Bank (ECB) will cut interest rates twice more this year. However, respondents warn the cuts must not be spaced too far apart. Otherwise, markets may conclude the easing cycle has already ended.
An increase of the indicator value may contribute to the rise in quotes of EUR.
A decrease of the indicator value may contribute to the fall in quotes of EUR.
In May, Spain's inflation rate decreased to 1.9%, falling below the European Central Bank's (ECB) target of 2%. This figure represents the lowest level in seven months. According to Bloomberg, this development sets the stage for a potential interest rate cut next week.
According to Reuters, economists expect Germany's inflation rate to continue declining in May and approach the European Central Bank's 2% target. However, data released on Friday presents an inconsistent picture across the country.
A Bloomberg survey indicates the European Central Bank (ECB) will cut interest rates twice more this year. However, respondents warn the cuts must not be spaced too far apart. Otherwise, markets may conclude the easing cycle has already ended.
The European Central Bank (ECB) is almost certain to cut interest rates at its June 5 meeting. Meanwhile, analysts cited by Reuters expect the regulator to keep monetary policy unchanged in July, despite economic instability in the bloc exacerbated by EU–US trade tensions.
Thursday's data showed that Italian business and consumer sentiment rebounded in May after a recent slump. According to Reuters analysts, this suggests the possibility of more sustainable growth in the eurozone's third-largest economy.
A decrease of the indicator value may contribute to the fall in quotes of EUR.
The US dollar's status as the world's reserve currency in 2025 is often questioned. The main candidate for this role is the euro. European Central Bank President Christine Lagarde identified the United States' challenges as opportunities for Europe.
Francois Villeroy de Galhau, a member of the European Central Bank's (ECB) Governing Council, has indicated the possibility of further interest rate cuts in the eurozone. This potential move comes amid stagnant consumer price growth, despite the recent imposition of US trade tariffs.
The European currency is one of the world's major monetary units. It has a crucial role to play in the global economy. Market participants constantly need to identify trends and forecast fluctuations in the euro exchange rate in order to make reasonable trading decisions.
Market manipulation by large investors has a significant impact on the exchange rate of the European currency. Their actions can both stabilize and greatly shake the money market. These may include:
Investment activity monitoring can help to understand and predict trends in the movement of the European currency rates.
Forecasting the value of the euro is a challenging task. There are many reasons for this, including geopolitical and economic risks that make foreign exchange markets particularly susceptible to change. Minor political instability or financial crisis in certain countries may have a significant impact on the value of the European currency, emphasizing the need to carefully consider these factors when developing investment strategies.
Successful trading the Eurozone currency requires a comprehensive approach. Analyzing global political and economic circumstances, taking into account the influence of traders, and assessing risks are integral parts of the decision-making process for opening trading positions.
