Euro flat as markets await key data

The euro steadied just above $1.17, hovering near last week’s four-year high of $1.192.

Investors looked ahead to the HCOB flash PMI survey, monetary indicators, and a series of speeches from European Central Bank and Federal Reserve officials that could shape the policy outlook.

The ECB signaled its rate-cutting cycle may be over, with policymakers warning of persistent inflation risks linked to tariffs, services, food prices, and fiscal policy.

In contrast, the Federal Reserve cut interest rates for the first time since December and indicated another 50 basis points of reductions could follow by year-end.

Still, Chair Jerome Powell described the move as a “risk management” adjustment rather than the start of a full easing cycle.