{
  "id": 1426709,
  "title": "Euro rallies to two-month high, eyes 1.1600 as USD struggles amid receding Fed hike bets",
  "url": "https://urgent.news/2026/08/17/euro-rallies-to-two-month-high-eyes-1-1600-as-usd-struggles-amid",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-17T05:02:11.000Z",
  "source": {
    "name": "FXStreet",
    "slug": "fxstreet",
    "url": "https://www.fxstreet.com/news/euro-rallies-to-two-month-high-eyes-11600-as-usd-struggles-amid-receding-fed-hike-bets-202608170502"
  },
  "original_language": "en",
  "account": "The EUR/USD currency pair reached a two-month high near the 1.1600 mark as the US Dollar struggled amid reduced expectations of an immediate rate hike by the Federal Reserve. This upward momentum continued for three consecutive days, with traders awaiting a move beyond the 1.1600 level for further bets. The USD Index (DXY), which tracks the Greenback against other currencies, hovered near the lower end of its monthly range as weak US data reinforced the notion of a decelerating US economy. Retail Sales in the US fell by 0.6% in July, the steepest monthly decline since May 2021, indicating a slowdown in consumer spending. Additionally, price pressures appeared to be moderating, giving the US central bank some room to maintain interest rates. Analysts at Scotiabank noted that the steepening US 2/30s yield curve, currently at 108 basis points, reflects growing concerns about the Fed's policy outlook and weaker fiscal dynamics in the US. This yield curve steepening adds further downward pressure on the US Dollar. On the other hand, the Euro received support from the expectation that the European Central Bank (ECB) would make a final 25-basis-point rate hike at its September meeting, given that inflation remained above the 2% target. Geopolitical tensions between the US and Iran also contributed to a premium in the market, making traders cautious about aggressive bearish bets on the US Dollar. The market's focus now shifted to the release of FOMC Minutes on Wednesday, which would provide further insights into the Fed's future policy stance. The current technical analysis suggests that the EUR/USD pair remains under the 200-day Simple Moving Average at 1.1630, with support provided by the 50% Fibonacci retracement at 1.1584. If the price breaks above this cluster, it could potentially push the pair towards 1.1732 and 1.1843. Conversely, a break below the 50% retracement would expose the 38.2% level at 1.1522, followed by deeper support at 1.1447 and 1.1324.",
  "summary": "The EUR/USD pair builds on last week's bounce from the vicinity of the 1.1500 psychological mark and attracts follow-through buyers for the third straight day.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 3,
    "also_reported_by": [
      {
        "outlet": "FXStreet",
        "title": "Euro strengthens above 1.1550 as Fed rate hike bets fade",
        "url": "https://urgent.news/2026/08/17/euro-strengthens-above-1-1550-as-fed-rate-hike-bets-fade",
        "published": "2026-08-17T00:20:51.000Z"
      },
      {
        "outlet": "Investing.com",
        "title": "European shares tick higher as easing Fed hike bets lift gold",
        "url": "https://urgent.news/2026/08/17/european-shares-tick-higher-as-easing-fed-hike-bets-lift-gold",
        "published": "2026-08-17T07:24:35.000Z"
      }
    ]
  },
  "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."
}