Important points:
- The euro ended 2024 on a weak note.
- Forex market closed on January 1st
- The outlook for the US dollar is good
There is little good to expect from Old Continent currencies this year. USD? It's a different animal.
- of
euro dollar pair Traders said the euro ended 2024 languishing near two-year lows, but was expected to remain static for the start of the new year. The major currency pair fell to $1.0350 on Tuesday, but remained unchanged as forex trading ended on Wednesday, January 1st. The market is currently trying to digest everything that happened last year and understand what it means for the Eurodollar. this year. - Looks pretty gloomy and bearish In the case of euros, there are no lies. The European Central Bank appears confident that inflation is no longer a threat and has cabled at least two more interest rate cuts in the near future. Taking this into account, the euro is in a pretty bad place, as lower interest rates imply a weaker local currency. And that's what we've seen so far – the euro is down almost 8% from its 2024 high of $1.12.
- In America, it's all about the dollar. More influence on the dollar is on the table for 2025 as President-elect Donald Trump imposes high tariffs on U.S. imports while preparing to ease taxes on domestic companies large and small. has been done. Add to this several interest rate cuts by the Federal Reserve, and you have a powerful ingredient to push the dollar higher. Wishing you many more successful and profitable years ahead!
