Euro tests two-week lows as risk aversion, Fed tightening bets buoy the US Dollar
• The Euro (EUR) dropped to two-week lows against the US Dollar (USD) on Wednesday, marking its second consecutive day of decline. • The downturn is driven by increased risk aversion due to escalating tensions in the Middle East and growing market expectations that the Federal Reserve will implement further interest rate hikes. • This shift in sentiment has boosted speculative demand for the US Dollar, strengthening the currency relative to the Euro.
fxstreet.com
