EUR/BDT Trades Sideways as ECB Net Foreign Currency Position Declines

The Eurosystem's net foreign currency position declined by EUR 0.5 billion to EUR 348.4 billion, indicating a reduced external liquidity buffer for the euro area.

This development can influence perceptions of euro availability versus other currencies and may support the exchange rate.

In contrast, base money in the euro area increased by EUR 7.9 billion to EUR 3,973.7 billion, adding fresh euro liquidity and shaping short-term market supply-demand dynamics.

The Euro vs Bangladeshi Taka (EUR/BDT) pair is trading above its key moving averages on the short- and medium-term horizon but remains capped by longer-term resistance.