The increase in US import duties will lead to a more pronounced slowdown in inflation in the eurozone than previously forecasted, Bloomberg reports, citing its own research. According to experts surveyed by the agency, this strengthens the likelihood that the ECB will cut interest rates this week.
Germany’s economy is on track for its third consecutive year of contraction. According to Reuters analysts, this downturn stems partly from Germans prioritizing savings over spending amid global trade instability.
The increase in US import duties will lead to a more pronounced slowdown in inflation in the eurozone than previously forecasted, Bloomberg reports, citing its own research. According to experts surveyed by the agency, this strengthens the likelihood that the ECB will cut interest rates this week.
The euro is experiencing its most rapid growth in 15 years, and momentum doesn’t appear to be slowing. Traders anticipate further gains, with some suggesting the currency could reach $1.20, prompting strategists to revise their forecasts.
Uncertainty over US President Donald Trump's potential tariffs is overshadowing the European Central Bank's (ECB) decision on the future course of monetary policy this week. Since June 2024, the ECB has cut rates five times, signaling a potential pause in reducing borrowing costs.
Last week, S&P Global upgraded Italy's credit rating from BBB to BBB+, citing improvements such as a reduced budget deficit, strong export activity, and high domestic savings.
According to a Bloomberg survey, inflation growth in the eurozone is expected to be slower than previously forecasted due to higher US tariffs. This corresponds to the plans of the European Central Bank to cut interest rates this week.
An increase of the indicator value may contribute to the rise in quotes of EUR.
Experts polled by Bloomberg forecast two more interest rate cuts by the ECB this year—but warn that US tariff policy could ultimately dictate the central bank's moves. In their view, the US President's decisions may change the strategy of the European regulator.
Sharon Donnery of the European Central Bank (ECB) has warned her colleagues about the risks posed by the activities of shadow financial organizations. The number of such firms in the region has grown significantly in recent years. Meanwhile, market conditions are becoming increasingly uncertain.
The ECB will cut interest rates at its April 17 meeting, responding to easing inflation and slowing economic growth in the EU. The euro's nearly 7% appreciation against the dollar this year is also putting downward pressure on EU CPI, reinforcing the ECB's case for continued rate cuts.
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.
