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fxAug 13, 2026, 9:23 PM

Euro Holds Above 1.1500 as US Inflation Curbs Fed Rate Hike Bets

EURUSD remains supported above 1.1500 after US inflation data reduced expectations for a Fed rate hike, with traders now looking for a hold at the September 16 meeting.

EURUSD

The euro is trading firmly above the 1.1500 level against the dollar as market sentiment around Federal Reserve policy softens. US inflation data has prompted traders to scale back bets on a near-term rate hike, with the base case shifting toward the Fed holding rates at the September 16 meeting.

The change in rate expectations is providing support for EURUSD, reducing the dollar's yield advantage and helping the single currency maintain its footing.

Investors are now turning attention to upcoming economic growth figures from the European Union, which could provide the next catalyst for the pair.

Source: FXStreet Forex News