Euro Hits Fresh Low as Strong US Data Keeps Fed Tightening in Play

The Euro plummeted to its lowest level since May 2025 on Thursday, with EUR/USD falling by 0.67% to 1.1253 as the US Dollar remains strong.

US Treasury yields climbed to a fresh high of 5.30%, and resilient economic data kept the Fed's tightening stance in play.

The US ISM Manufacturing PMI rose to 54.5 in September, missing forecasts but still above the expansion mark, while initial jobless claims fell to 197K.

Kansas City Fed President Jeff Schmid and Boston Fed President Susan Collins expressed concern about inflation, with Collins stating that 'economic growth is near trend, if not more than that; labor market near full employment, but inflation is too high'.