{
  "id": 10614486,
  "title": "EUR/USD Price Forecast: Softens to near 1.1350 as bearish bias holds below key averages",
  "url": "https://urgent.news/2026/09/29/eur-usd-price-forecast-softens-to-near-1-1350-as-bearish-bias-holds",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-29T05:11:15.000Z",
  "source": {
    "name": "FXStreet",
    "slug": "fxstreet",
    "url": "https://www.fxstreet.com/news/eur-usd-price-forecast-softens-to-near-11350-as-bearish-bias-holds-below-key-averages-202609290511"
  },
  "original_language": "en",
  "account": "On Tuesday morning, the EUR/USD currency pair was trading near 1.1350, exhibiting a bearish bias as it dipped below key averages. The Euro had weakened to a four-month low against the US Dollar, driven by higher US Treasury yields and hawkish statements from Federal Reserve officials. Market expectations of future Fed rate hikes surged after several officials indicated additional rate increases might be necessary to combat persistent high inflation. A recent CME FedWatch tool survey indicated a 70.3% probability of a quarter-point rate increase at the upcoming October meeting, with some forecasting four rate hikes over the next year. Societe Generale's analysts noted that the Euro had been steadily pressured this year, with consensus forecasts dropping from 1.20 to a more cautious 1.16. They believe the current market sentiment, though still bearish, may be even more pronounced than official forecasts suggest. Looking ahead, the macro environment could challenge current levels, with high inflation and robust economic data potentially pushing the Dollar Index towards a near-2026 high or EUR/USD towards a new low. Fed Governor Michael Barr echoed the same sentiment, stating that further policy adjustments may be necessary to control inflation. The FXS Fed Sentiment Index, which gauges market expectations of Fed policy shifts, slipped slightly to 146.89, indicating a modest decrease in perceived hawkishness despite the governor's more hawkish tone during his recent speech. Technical indicators suggest a bearish near-term bias for EUR/USD, with the pair currently trading below the 100-day simple moving average and the Bollinger middle band. The Relative Strength Index (14) remained in oversold territory, suggesting the sell-off may continue in the short term. Support levels were identified around 1.1315, with a clear break below potentially triggering a cascade towards the May 2025 lows.",
  "summary": "The EUR/USD pair trades in negative territory around 1.1360 during the early European session on Tuesday. The Euro (EUR) weakens to its lowest since July 28 against the US Dollar (USD), pressured by surging US Treasury bond yields and hawkish signals from the Federal Reserve (Fed) officials.",
  "key_points": [
    "EUR/USD trades near 1.1350, showing bearish bias",
    "Euro hits four-month low vs US Dollar",
    "Fed rate hike probability at 70.3% for October"
  ],
  "editors_take": "The EUR/USD currency pair's dip below key averages signals a bearish trend that may persist in the short term, potentially pushing the pair towards a new low amid high inflation and robust economic data.",
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "FXStreet",
        "title": "Silver Price Forecast: XAG/USD holds onto losses below $61 ahead of US Job Openings data",
        "url": "https://urgent.news/2026/09/29/silver-price-forecast-xag-usd-holds-onto-losses-below-61-ahead-of-us",
        "published": "2026-09-29T03:18:00.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}