Fundamental Market Analysis for April 24, 2025 EURUSDEvent to watch out for today:
15:30 EET. USD - Number of Initial Jobless Claims in the U.S.
EURUSD:
EUR/USD rises towards the 1.1335 level during the early Asian session on Thursday. Easing concerns over potential tariff threats from US President Donald Trump are putting some pressure on the US Dollar (USD).
According to the Federal Reserve's (Fed) Beige Book report released on Wednesday, businesses facing the early stages of Trump's tariffs are looking for ways to pass on rising costs to consumers. Companies have reported receiving warnings from suppliers about price increases and are looking for ways not to absorb those increases, noting uncertainty about whether they can pass them on to customers.
Earlier this month, Trump imposed a basic import tax of 10 per cent or more on dozens of countries, but then unexpectedly suspended the taxes for 90 days to give countries a chance to negotiate lower rates. Nevertheless, trade policy uncertainty and concerns over slowing economic growth in the US could drive the dollar lower and create a tailwind for EUR/USD.
Last week, the European Central Bank (ECB) cut its main interest rate by a quarter of a percentage point to 2.25% at its April meeting. During a press conference, ECB President Christine Lagarde said that the US tariffs on EU goods, which have increased from an average of 3% to 13%, are already hurting the prospects of the European economy.
Trading recommendation: BUY 1.1350, SL 1.1320, TP 1.1430
