EUR/USD attracts some buyers on Friday amid a modest US Dollar downdraft.
Dovish Fed expectations and a positive risk tone weigh on the safe-haven buck.
Bets for more ECB rate cuts could act as a headwind for the Euro and cap gains.
The EUR/USD pair builds on the previous day's late rebound from the 1.0950 area and gains some positive traction during the Asian session on Friday. Spot prices, however, struggle to capitalize on the uptick and currently trade around the 1.0975-1.0980 region, up just over 0.05% for the day.
A combination of factors prompts fresh selling around the US Dollar (USD), which, in turn, is seen lending some support to the EUR/USD pair. Despite Thursday's upbeat US macro data, investors seem convinced that the Federal Reserve (Fed) will begin its policy-easing cycle in September and have fully priced in a 25 basis rate cut. This, in turn, triggers a modest pullback in the US Treasury bond yields and exerts some downward pressure on the buck.
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
Hot
No comment on record. Start new comment.