Forex
Euro Weakens as Hawkish Fed Outlook Weighs on Dollar
The Euro struggles against the US Dollar as traders favor the higher-yielding Greenback. The EUR/USD pair trades around 1.1473, hovering near levels last seen in late July.
US Treasury yields remain elevated due to inflation concerns and a geopolitical risk premium embedded in energy prices. Despite a modest pullback in yields, they stay above 4.97%, below the 5.04% level touched last week, its highest since 2007.
The war in the Middle East keeps inflation concerns alive, with US President Donald Trump suggesting he might be open to meeting Iranian President Masoud Pezeshkian on the sidelines of the United Nations General Assembly this week.