The euro extends gains against the dollar after breaking key moving averages, fueled by technical momentum and US Treasury developments.
EUR/USD climbed to 1.1690, its highest level in over three months, rising more than 0.1% as the dollar remains under pressure. The move follows yesterday’s break above the 100-day and 200-day moving averages, shifting technical sentiment to bullish.
The dollar’s vulnerability stems from recent US Treasury announcements, though broader market reactions have been mixed. While the greenback holds slight gains against the yen and Swiss franc, the euro’s momentum persists near the 1.1700 threshold.
Traders remain cautious, as follow-through has been limited today. Analysts suggest bond market relief may be short-lived, potentially capping further dollar declines in the near term.