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EU prepares strong response to possible 30% US tariffs — Reuters

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
Fall in German business activity fuels fears of economic downturn

According to S&P Global, Germany’s composite purchasing managers’ index (PMI) dropped to 49.7 in April, falling below the critical 50.0 threshold. The decline was seen in both the manufacturing and services sectors, with the latter hitting its lowest level in 14 months.

23 April
Fall in German business activity fuels fears of economic downturn
ECB expert survey predicts eurozone inflation stabilizing at 2%

According to the European Central Bank's (ECB) latest survey of Professional Forecasters, eurozone inflation may be slightly higher than expected this year. The updated outlook for 2025 has been raised from 2.1% to 2.2%.

23 April
ECB expert survey predicts eurozone inflation stabilizing at 2%
Credit Agricole expert believes in dollar recovery by mid-2025

Valentin Marinov, one of the leading experts at Credit Agricole, considers the dollar's fall to be temporary. He estimates that by the mid-year, the American currency will regain its former strength.

23 April
Credit Agricole expert believes in dollar recovery by mid-2025
European Union. Trade Balance. The value of the indicator has increased from 0.8B to 24B

An increase of the indicator value may contribute to the rise in quotes of EUR.

23 April
European Union. Manufacturing PMI. The value of the indicator has increased from 48.6 to 48.7

An increase of the indicator value may contribute to the rise in quotes of EUR.

23 April
European Union. Markit Composite PMI. The value of the indicator has decreased from 50.9 to 50.1

A decrease of the indicator value may contribute to the fall in quotes of EUR.

23 April
Germany. German Composite PMI. The value of the indicator has decreased from 51.3 to 49.7

A decrease of the indicator value may contribute to the fall in quotes of EUR.

23 April
Germany. German Manufacturing PMI. The value of the indicator has decreased from 48.3 to 48

A decrease of the indicator value may contribute to the fall in quotes of EUR.

23 April
IMF cut forecast for eurozone GDP growth amid uncertainty over US tariffs

The International Monetary Fund (IMF) has revised downward its economic growth forecast for the eurozone for this year and next year, citing uncertainty in global trade and US protectionist policies as main reasons.

23 April
IMF cut forecast for eurozone GDP growth amid uncertainty over US tariffs
Lagarde declared ECB's closeness to victory over higher inflation

European Central Bank (ECB) President Christine Lagarde said in an interview with CNBC that the regulator has almost achieved its goal of bringing inflation back to 2%. However, she emphasized the importance of maintaining a flexible approach amid the uncertain global economic environment.

23 April
Lagarde declared ECB's closeness to victory over higher inflation

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.