According to Jin10 data, ING analyst Chris Turner stated that the foreign exchange market has limited reaction to the US-EU trade agreement, as the market had already anticipated it. As the market awaits the Federal Reserve's interest rate decision this week, the euro faces downward pressure.
The market generally expects the Federal Reserve to keep interest rates unchanged. ING expects that if the Federal Reserve continues to resist political pressure to cut rates, the euro against the dollar could fall to 1.16. Data shows that the money market does not expect the Federal Reserve to cut rates before October.