Euro Crashes Below $1.14 as Fed Rate Hike Odds Rise to 70%

On September 24, during the European session, the euro/dollar exchange rate briefly dipped to 1.1368, hitting a new low since July 29.

The euro has since staged a modest rebound, hovering around 1.1390.

Danske Bank's research team notes that strong U.S. PMIs and hawkish Fed pricing have weighed on the euro against the U.S. dollar.

A sharp rise in the U.S. composite PMI has bolstered market expectations of another Fed rate hike in October, pushing EUR/USD below 1.14.