Categories: Market Overview

What drives EURUSD higher

EURUSD has updated its 22-month high, breaking above 1.1760. The growth of the euro can be explained by the influence of the Swiss National Bank. It is trying to weaken the franc, buying mostly euros in its FX reserves. In May-June, the growth of EURCHF passed from the levels of 1.05 to 1.09.

This month the growth has begun from the levels slightly above 1.06 and has already strengthened the euro to 1.0840 francs. However, it will be too straightforward to look only at the dynamics of one pair.

On Monday, the sell-off in USDCHF was stopped at 5-year lows at 0.9165, after which the pair managed to move above 0.9220. The jump in EURCHF in May-June did not lead to an upward reversal in USDCHF.

It cannot be ruled out that the SNB has now set itself a broader goal – to stop the strengthening of the franc against the dollar as well. Indirectly, it also promises to support the euro.

The FxPro Analyst Team

The FxPro Analyst Team

Our team consists of financial market experts. Our dedicated professionals prepare reviews on the foreign exchange market situation, Crude Oil, Gold and Stock Indices. All the analysts are regularly published in the world leading economic media.

Share
Published by
The FxPro Analyst Team

Recent Posts

Bitcoin’s Downtrend, Solana and Ethereum Form Double Bottom

Market picture  Crypto market capitalisation rose 3.3% in 24 hours to $2.22 trillion. Local capitalisation…

1 hour ago

EURJPY Wave Analysis 2 May 2024

- EURJPY under strong bearish pressure - Likely to fall to support level 163.10 EURJPY…

15 hours ago

WTI crude oil Wave Analysis 2 May 2024

- WTI broke round support level 80.00 - Likely to fall to support level 76.00…

15 hours ago

ADP hints at another strong NFP on Friday

The monthly ADP labour market report showed that America created 192K new jobs in April, above…

2 days ago

Fed’s hawkish tone risks sinking S&P500 to 4700

Bears showed strength ahead of the FOMC decision.  U.S. indices sagged on Tuesday as investors…

2 days ago

A new stage of Bitcoin’s decline

Market Picture  Bitcoin's closing price on Tuesday became the lowest since late February, confirming the…

2 days ago

This website uses cookies