Market News
Euro bulls wince as US-EU trade deal slams the brakes on rally - REUTERS
Summary
- Euro saw biggest first half gains in its history
- Speculative long euro bets at $18.4 billion ahead of weekend
- Trade deal removes uncertainty for dollar as well as euro
- Fears for dollar at start of year unrealised
LONDON, July 29 (Reuters) - Euro bulls are facing the first big test of their conviction in the form of the European Union's U.S. trade deal, which has cast doubt on the durability of one of 2025's most popular trades.
The euro, which hit a four-year high of $1.1830 earlier this month, on Tuesday was last at $1.1522, headed for its biggest two-day drop in nearly three years , after the EU agreed to a 15% tariff on its U.S. exports - half the rate President Donald Trump had previously threatened, but well above the roughly 1.5-2% rate prior to his return to the White House.
