EUR/USD Strengthens Beyond 1.15 as ECB Commentary and Weak USD Drive Gains

EUR/USD Strengthens Beyond 1.15 as ECB Commentary and USD Weakness Support the Euro

The Euro (EUR) continued to advance against the US Dollar (USD) in Thursday’s session, holding above the key 1.15 level and trading last at 1.1552. The momentum follows Wednesday’s softer US CPI report, which has increased expectations for Federal Reserve rate cuts later this year.

ECB Remarks Reinforce Euro's Upside

Remarks from European Central Bank (ECB) officials have also contributed to the Euro's upside, as policymakers hinted at maintaining stability while inflation trends improve. The ECB’s comparatively cautious stance, coupled with the Fed’s potential dovish shift, has strengthened the EUR/USD divergence narrative.

US Dollar Weakness Continues Post-CPI

The US Dollar Index (DXY) remains under pressure, with the broader greenback retreating following lower-than-expected US inflation figures. Market participants are now pricing in a higher chance of a Fed rate cut by September, further supporting the EUR/USD pair.

Technical Outlook: Can EUR/USD Break 1.1600?

EUR/USD’s current level of 1.1552 places it near the top of a short-term range, with 1.1600 acting as the next resistance. A sustained push above this mark could signal a broader trend shift if supported by additional macroeconomic catalysts or ECB rhetoric.

More EUR/USD Insights on Tredu:

• EUR/USD Live Technical Chart
• ECB Policy Tracker and Commentary
• Fed Rate Cut Watch: USD Impact