According to Reuters, France and Germany are weighing possible countermeasures against the US if talks with the Trump administration fail to produce an agreement.
23 July
Euro News (EUR)
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According to an annual survey by consulting firm EY, new foreign direct investment projects in the EU fell to a nine-year low in 2024, dipping below even pandemic-era levels. The number of jobs created by these investments also declined by 16% year-on-year.
15 May
Germany's finance minister says budget cuts are required
The German government will still have to find ways to save budget resources despite the possibility of using the new infrastructure fund and spending an unlimited amount of money on defense. This will require a decrease in investments in other areas of the economy.
15 May
EU agricultural easing may hit regional ecology and euro stability — Politico
The EU's top adviser, Christophe Hansen, has unveiled a plan that promises to save farmers €1.5 billion (about $1.67 billion) a year by simplifying the Common Agricultural Policy (CAP).
14 May
Bank of France forecasts modest economic growth in country in second quarter
After analyzing a survey of 8,500 companies, the Bank of France forecast only slight economic growth in the country in the second quarter of 2025. According to the central bank’s estimates, business activity will be supported by moderate expansion in services and industry.
14 May
The European Central Bank (ECB) is poised to maintain its aggressive stimulus policy in a strategy review, according to several regulatory officials who spoke to Reuters.
14 May
ZEW: German investor sentiment rose in May on progress in US-EU trade talks
Germany's ZEW business sentiment index surged to 25.2 in May, rebounding from -14 in April. Analysts had expected an increase to 11.3. This improvement reflects three key factors: the new government taking office, progress in US-EU trade negotiations, and stabilizing inflation in Germany.
14 May
ECB’s Klaas Knot sees US tariffs curbing inflation and economic growth in near term
European Central Bank (ECB) Governing Council member Klaas Knot believes that uncertainty caused by US trade policy will curb inflation and GDP growth in the EU in the near term.
14 May
No change of the indicator value may reduce the volatility of the related markets.
14 May
According to the recent statement by European Central Bank’s (ECB) policymaker Francois Villeroy de Galhau, the regulator may additionally cut interest rate by the beginning of summer. He provided this information during an interview for a French newspaper yesterday.
14 May
Among developed countries, Germany is the only one forecast to face a decline in gross domestic product (GDP) in 2025. According to the IW Institute (Institut der deutschen Wirtschaft), GDP is expected to drop by 0.2%.
13 May
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.
Key drivers of the euro are the following:
- Macroeconomic indicators such as consumer price indices (CPI), estimates of gross domestic product (GDP), and central bank decisions;
- Political variables such as geopolitical stability and government policies.
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:
- large injections or withdrawals of currency from the market;
- change in the general mood among investors, which often depends on economic and political conditions.
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.
