EURUSD and GBPUSD: Euro above 1.09000
The Euro has been on a steady rise against the US Dollar, with the EURUSD pair trading above the 1.09000 level. This is a significant milestone for the Euro, which has been struggling against the Dollar for the past few years.
The Euro’s rise can be attributed to a number of factors, including the European Central Bank’s (ECB) monetary policy, the US Federal Reserve’s (Fed) interest rate policy, and the ongoing Brexit negotiations.
The ECB has been implementing a loose monetary policy, which has led to a weaker Euro. However, the recent economic data from the Eurozone has been positive, which has boosted the Euro’s value. The ECB has also hinted at a possible end to its quantitative easing program, which has further strengthened the Euro.
On the other hand, the Fed has been raising interest rates, which has led to a stronger Dollar. However, the recent economic data from the US has been mixed, which has led to uncertainty about the Fed’s future interest rate policy. This uncertainty has weakened the Dollar and strengthened the Euro.
The ongoing Brexit negotiations have also played a role in the Euro’s rise. The uncertainty surrounding Brexit has led to a weaker Pound, which has boosted the Euro. The recent progress in the negotiations has also boosted the Euro’s value.
The GBPUSD pair has also been affected by the Brexit negotiations, with the Pound trading at a lower level against the Dollar. However, the recent progress in the negotiations has led to a slight increase in the Pound’s value.
Overall, the Euro’s rise above the 1.09000 level is a positive sign for the Eurozone economy. However, the ongoing uncertainty surrounding Brexit and the Fed’s interest rate policy could lead to further volatility in the currency markets. Traders should keep a close eye on these factors when trading the EURUSD and GBPUSD pairs.