The Euro fell against the US Dollar as markets weighed ECB policy signals amid unchanged interest rates.
EUR/USD declined 0.3% to 1.1377, reversing earlier gains as the Euro weakened against the US Dollar. The move came despite the European Central Bank holding rates steady and hints of potential future hikes from policymakers.
The ECB left its benchmark rate unchanged but acknowledged growing calls for tighter monetary policy. Markets had priced in a cautious stance, though recent inflation data suggested upward pressure on prices.
The currency pair’s retreat reflected investor caution ahead of further ECB guidance and US economic data releases.