EUR/USD - Overview as of 07.04.2025

Financial and commodity markets analytics

 

In times of market instability, investors traditionally tend to transfer their funds into the dollar as a safe asset. However, this time, amid a sharp fall in stock markets around the world, they have started to get rid of the dollar as well. The U.S. dollar, which has been considered a safe haven for decades, fell 1.7% last Thursday, its biggest drop since November 2022. At the same time, the strengthening of other currencies against the dollar poses challenges for central banks, especially amid weak economic forecasts, as it increases the cost of exports and makes it harder for growth to recover. For example, the euro recently posted its best performance against the dollar in more than two years. However, after EUR/USD met resistance in the 1.1150 area, the quotes declined to the previously formed range. The 1.0750-1.0950 area represents a zone of possible support.