The euro consolidated its gains above the $1.07 mark as investors anticipated overall inflation figures for the Eurozone, which are due on Tuesday, for further cues on the European Central Bank's policy trajectory. In Germany, Europe's largest economy, the national CPI rate remained unchanged at 2.2% in April, slightly below forecasts of 2.3%, while the EU-harmonized reading edged up slightly to 2.4%, surpassing March's near three-year low of 2.3%. Additionally, Spain's inflation rate also increased to 3.3%, driven by rising food and gas prices. Meanwhile, the core inflation rates from both countries slowed to fresh multi-year lows, primarily due to decelerating services inflation. The ECB has clearly signaled its intention to start lowering borrowing costs in June amidst gradually diminishing price pressures and indications of weakening economic activity. Meanwhile, in the US, the Federal Reserve is unlikely to implement any reductions in borrowing costs before September.
The EURUSD increased 0.0025 or 0.23% to 1.0717 on Monday April 29 from 1.0693 in the previous trading session. Historically, the Euro US Dollar Exchange Rate - EUR/USD reached an all time high of 1.87 in July of 1973.The euro was only introduced as a currency on the first of January of 1999. However, synthetic historical prices going back much further can be modeled if we consider a weighted average of the previous currencies. Euro US Dollar Exchange Rate - EUR/USD - data, forecasts, historical chart - was last updated on April 29 of 2024.
The EURUSD increased 0.0025 or 0.23% to 1.0717 on Monday April 29 from 1.0693 in the previous trading session. The Euro US Dollar Exchange Rate - EUR/USD is expected to trade at 1.07 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 1.03 in 12 months time.