EUR/USD Range Near 1.15 as Markets Assess Rate Path, Scotiabank Says

Scotiabank’s FX strategists note that EUR/USD is gravitating toward the 1.15 area after a recent rally triggered by Federal Reserve expectations. Euro area CPI readings came in broadly in line with forecasts, while French data provided a short-lived boost to the single currency.

Interest rate expectations are steadying, with markets now pricing roughly 42 basis points of additional tightening. The bank’s outlook implies the pair may consolidate around mid-1.15s in the near term.