Tag: fed
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EUR/USD Weekly Outlook – January 20, 2025: Parity in Sight as Dollar Strengthens Amid Global Economic Shifts
Trump is officially the new president of the United States, and now the market awaits clarity on the much-discussed protectionist measures. The forex market remains volatile, with the euro struggling to recover after better-than-expected U.S. inflation data. Meanwhile, in Germany, it is now certain that 2024 will be marked by another economic recession.
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Weekly EurUsd Outlook, January 13, 2025 – Trump’s Return and Dollar Strength Amid Euro Weakness
Trump now dominates the global political and economic stage on a daily basis. With his official inauguration imminent, we are about to grapple with real policy decisions. The American economy continues on its growth path, while Europe struggles. Inflationary pressures loom on the horizon, with tariffs potentially increasing price pressures. The dollar is benefiting from…
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EUR/USD Weekly Outlook, January 6, 2025 – Gas Crisis and Interest Rates Impacting the Euro
The gas war reignites tensions over energy prices in Europe and also puts pressure on the euro, whose performance is hindered by political concerns in key countries like France and Germany, as well as macroeconomic data that continues to offer little reassurance regarding recovery. Meanwhile, expectations grow for Trump’s inauguration at the White House.
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Weekly EUR/USD Outlook for December 16, 2024 – Inflation and ECB Rate Cuts Shape Market Sentiment
The two most important central banks in the world will close out 2024 with similarly intense rate cuts. The ECB has already announced its 25 basis point reduction, and the Fed will follow suit next week. However, the path for the new year appears divergent, which explains the strength of the dollar, which remains firmly…
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EUR/USD Weekly Outlook for December 9, 2024 – European Crisis Deepens as U.S. Economy Strengthens
The European political and economic crisis is worsening. Following Germany, France may also face new elections after the collapse of the Barnier government, or Macron will need to try to form a new government. This crisis contrasts with a U.S. economy that is thriving, which of course strengthens the U.S. dollar. However, technically, we still…
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EUR/USD Weekly Outlook – December 2, 2024: Tariffs, Inflation, and Central Bank Decisions Shape the Path Ahead
The new American president, Trump, wasted no time in warning neighboring countries and China about upcoming tariffs on imports, at least until drug trafficking and illegal immigration into the US are halted. Meanwhile, in Europe, inflation is showing signs of awakening, reigniting concerns over the extent of the next ECB rate cut.
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Weekly EUR/USD Outlook – November 11, 2024 – Trump Victory Fuels Dollar Surge
Trump returns to the White House, confirming what markets had anticipated for a week: rising bond yields, stock markets at record highs, and a strong dollar. Meanwhile, the Fed cut rates as expected, though this might be its last move as inflation expectations grow among consumers and businesses. Germany, meanwhile, faces turmoil following the dismissal…
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Weekly Outlook for November 4, 2024 – U.S. Election and Fed Decisions in Focus
EurUsd maintains its positions above the key support level of 1.08; however, the two main market movers will undoubtedly define the dynamics of the exchange rate in the coming days with greater precision.
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Weekly EUR/USD Outlook October 21, 2024 – European Disinflation Accelerates as ECB Cuts Rates, Dollar Strengthens
Federal Reserve Urges Caution as ECB Cuts Rates, Euro Weakens This week, various Federal Reserve officials urged caution regarding interest rate cuts. Yes, cuts may come, but with careful consideration, always factoring in inflation trends and employment data. Consumer prices in September halted their deceleration, though the labor market appears unaffected for now. The two…
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Weekly EUR/USD Outlook for October 14, 2024 – Rate Differentials & ECB Policy Set the Stage
Geopolitical tensions that persist globally do not appear to be disrupting financial markets, which are reaching new all-time highs in equities and showing less concern about an economic recession, at least in the United States, despite the resurgence of inflation. This week, the ECB is expected to cut interest rates, while EUR/USD seems to be…