USD 
EUR 
CAD 
NZD
The big story today was the Euro taking a hit against the US Dollar, slipping to near one-month lows, which was pretty wild considering it's been holding its own lately. If you were watching EUR/USD, you'd have noticed it was down around 0.91% on the day, and honestly, it wasn't a huge surprise given the hawkish Fed expectations that have been building. Societe Generale economists pointed out that Eurozone 2026 GDP forecasts have been cut more than US projections, which reinforces the US outperformance. And let's be real, when the Fed is talking tough, the Euro usually takes a hit.
But what's really driving this move is the strong short-term momentum in the US Dollar, which ING's Francesco Pesole notes is being fueled by hotter US data. That's reinforcing expectations for a Fed hike, and you can bet that's got traders nervous. Commerzbank's Barbara Lambrecht is focusing on Platinum group metals, but for most of us, it's all about the Dollar right now. The US Dollar / Mexican Peso is sitting at 17.3462, which isn't a huge move, but it's still a good indicator of the Dollar's strength. And if you look at the Euro / Canadian Dollar, it's at 1.6006, which is basically flat, but still tells us that the Euro is struggling.
And it's not just the Euro that's feeling the pain - the Aussie is also taking a hit, down around 0.91% on the day against the US Dollar. That's a pretty sharp move, especially considering the Aussie has been one of the stronger currencies lately. But with the US Dollar gaining strength, it's hard for other currencies to keep up. The New Zealand Dollar / Yen is at 92.7279, which is also basically flat, but it's still worth keeping an eye on.
As we head into the weekend, it's all about what's coming next - will the Fed keep talking tough, or will we see some kind of shift in their stance? Either way, it's going to be a big week, and you can bet that traders will be watching every move closely. According to DailyFX, the ECB Economic Bulletin is going to be a big deal, so we'll be keeping an eye on that. FXStreet pointed out that the Canadian Consumer Price Index inflation is expected to rise, which could have some implications for the Loonie. But for now, it's all about the Dollar, and whether it can keep up this momentum.
Dollar Strength Dominates
But what's really driving this move is the strong short-term momentum in the US Dollar, which ING's Francesco Pesole notes is being fueled by hotter US data. That's reinforcing expectations for a Fed hike, and you can bet that's got traders nervous. Commerzbank's Barbara Lambrecht is focusing on Platinum group metals, but for most of us, it's all about the Dollar right now. The US Dollar / Mexican Peso is sitting at 17.3462, which isn't a huge move, but it's still a good indicator of the Dollar's strength. And if you look at the Euro / Canadian Dollar, it's at 1.6006, which is basically flat, but still tells us that the Euro is struggling.
And it's not just the Euro that's feeling the pain - the Aussie is also taking a hit, down around 0.91% on the day against the US Dollar. That's a pretty sharp move, especially considering the Aussie has been one of the stronger currencies lately. But with the US Dollar gaining strength, it's hard for other currencies to keep up. The New Zealand Dollar / Yen is at 92.7279, which is also basically flat, but it's still worth keeping an eye on.
As we head into the weekend, it's all about what's coming next - will the Fed keep talking tough, or will we see some kind of shift in their stance? Either way, it's going to be a big week, and you can bet that traders will be watching every move closely. According to DailyFX, the ECB Economic Bulletin is going to be a big deal, so we'll be keeping an eye on that. FXStreet pointed out that the Canadian Consumer Price Index inflation is expected to rise, which could have some implications for the Loonie. But for now, it's all about the Dollar, and whether it can keep up this momentum.