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fxAug 14, 2026, 3:32 PM

EUR/USD Weekly Forecast: War Escalation Could Revive Dollar Demand

EUR/USD ended the week marginally higher around 1.1580 but lacks clear direction, with the market watching whether renewed geopolitical escalation revives U.S. dollar demand.

EURUSD

EUR/USD settled in the 1.1580 area, edging slightly higher over the week but still unable to establish a clear path. The pair is holding close to its August peak at 1.1581.

U.S. dollar demand remains subdued, helped by poor employment figures and a steady tone in the market. That has left the euro supported for now.

Going forward, any escalation in the war could bring back U.S. dollar demand and weigh on the pair.

Source: FXStreet Forex News