No major events are expected today.

The euro is trading steadily due to the weakening of the US dollar amid falling Treasury yields and futures markets pricing in a high probability of a Federal Reserve rate cut in October. This reduces the dollar’s carry premium and supports the single currency. Additional support comes from improving global risk appetite following stronger-than-expected data from China.

Recent statements from ECB officials indicate satisfaction with the current level of interest rates and a lower likelihood of further cuts in the coming months. The eurozone economy’s resilience and inflation nearing the target reduce the need for additional stimulus. This means that short-term interest rate expectations are not widening in favor of the dollar.

Overall, fundamental factors favor a gradual strengthening of the euro against the dollar, provided there is no sharp deterioration in external conditions. The focus remains on upcoming comments from the Fed and ECB regarding rate paths and the impact of US-China trade tensions on inflation expectations.

Recommendation: BUY 1.1665, SL 1.1645, TP 1.1720