EUR/USD Pair Slumps Amid Escalating Geopolitical Tensions

The EUR/USD pair remains under pressure due to escalating geopolitical tensions and hawkish monetary policy from major central banks.

France's President Emmanuel Macron warned of Russia's intensified hybrid threat against Europe and France, which has contributed to a decrease in the Euro's value. Additionally, the ongoing conflict between Saudi Arabia and Iran-backed Houthis has increased global uncertainty and supported the US Dollar (USD).

The recent interest rate hike by the Federal Reserve (Fed) and the European Central Bank's (ECB) warning of prolonged price pressures have also lent support to the safe-haven Greenback. This, combined with the geopolitical risks, has weighed heavily on the EUR/USD pair.