EUR/USD Holds Steady as Traders Await Sanctions and Policy Speech

The EUR/USD pair has been holding steady near 1.1680 in early European trading hours on Monday, maintaining a constructive tone despite being overbought.

Fiscal interventions from the US Treasury have weighed on the US Dollar against the Euro, with traders bracing for details of sanctions on Iran and a policy speech this week in the United States.

The announcement by US Treasury Secretary Scott Bessent to double its long-end bond buybacks to $4 billion per operation has added to concerns over the deteriorating fiscal outlook and uncertainty over the Federal Reserve's policy path.