The currency pair consolidates above 1.1600 as hawkish Fed expectations and geopolitical risks support the dollar.
The EUR/USD pair remains in a consolidation phase near its highest level since late May, trading above 1.1600 during Thursday’s Asian session. The dollar finds support from hawkish Federal Reserve policy expectations and heightened geopolitical risks involving Iran, capping further euro gains.
The pair has rallied over the past three weeks but faces resistance at the 1.1700 mark. Analysts note that a break above this level could trigger fresh bullish bets, extending the recent upward momentum. Earlier sessions saw the euro test multi-week highs before retreating slightly.
Market participants are closely monitoring Fed commentary and Middle East developments for cues on the pair’s next move. No immediate market reaction was reported in the session.