The Euro Dropped Against the Greenback
Published on: Jun 10, 2024|1 min read
London: 10 June 2024 (TraderMade): The Euro fell against the US Dollar due to ongoing political uncertainty in the Eurozone. The French President Emmanuel Macron has called for a snap election, adding turbulence to the Eurozone's economic stability. At the same time, the US Dollar is performing well in the forex market, ahead of the Fed Meeting scheduled later this week.
The EURUSD pair declined 0.15% to 1.07561 since Friday Close. The pair hit a 1-month low of 1.074875 early today.
The Euro is weakening against the US Dollar. Here's a breakdown of the situation:
- Current Exchange Rate: 1 Euro = 1.0753 US Dollars (down 0.44%)
- Year-to-Date Change: The Euro has fallen more than 2.5% against the Dollar this year.
- Reason for Weakness:
- Strong US Jobs Data: This suggests a stronger US economy, making the - - Dollar more attractive to investors.
- Political Uncertainty in Europe: This creates uncertainty for the Eurozone economy.
- ECB vs Fed Interest Rates: The European Central Bank (ECB) started raising interest rates, while the US Federal Reserve (Fed) might delay rate cuts, making the Dollar a more attractive investment.
Overall, these factors are putting downward pressure on the Euro.
