EUR/USD news for August 19, 2026
EURUSD is being driven by shifting expectations for Federal Reserve policy, with fading rate-hike bets lending support to the euro, and by geopolitical tensions, particularly US-Iran concerns, which have occasionally boosted the US dollar as a safe haven. The pair has struggled near 1.1600 and recently dipped below its 100-day SMA, consolidating below a two-month high as traders weigh these opposing forces. The market remains sensitive to headlines on both monetary policy and geopolitical developments.
How the day unfolded
EUR/USD is trading around 1.1600, with conflicting pressures from geopolitical tensions and central bank policy expectations. War worries from the US-Iran situation have weighed on the euro at times, while a drop in Fed hike odds and persistent ECB tightening bets have supported it. The pair recently hit an eight-week high before consolidating, as uncertainty over the Middle East keeps the dollar and risk sentiment volatile.
EUR/USD has been volatile, with the pair climbing to an eight-week high as fading expectations for a Fed rate hike and ongoing ECB tightening bets underpinned the euro. However, gains have been capped around 1.1600, with the pair slipping below its 100-day SMA amid US-Iran conflict worries and a steadier US dollar. A breakout higher may have to wait as the market weighs these opposing forces.
Headlines (9)
- EUR/USD at Eight-Week High: What Happens Nextwww.investing.com · Aug 17, 09:57 UTC
- EUR/USD Gains as Fed Hike Odds Fall and ECB Tightening Bets Holdwww.investing.com · Aug 17, 20:16 UTC
- EUR/USD Price Forecast: Struggles at 1.1600, dives below 100-day SMAwww.fxstreet.com · Aug 18, 00:17 UTC
- Forex Today: US Dollar sags to two-month lows as Middle East risk lifts Oil and Goldwww.fxstreet.com · Aug 18, 00:17 UTC
- EUR/USD upside break may have to waitinvestinglive.com · Aug 18, 06:15 UTC
- Euro declines below 1.1600 on US-Iran war worrieswww.fxstreet.com · Aug 18, 06:40 UTC
- US Dollar Gains Ground Amid Geopolitical Uncertainty. Forecast as of 18.08.2026www.litefinance.org · Aug 18, 07:30 UTC
- Euro consolidates below two-month high as US Dollar steadieswww.fxstreet.com · Aug 18, 13:20 UTC
- Euro strengthens above 1.1550 on fading Fed hike betswww.fxstreet.com · 00:49 UTC
Scheduled events
As of 10:29 UTC
- 2026-08-19 — Current Account · forecast 26.8B · EUR
- 2026-08-19 — Final Core CPI y/y · forecast 2.5% · EUR
- 2026-08-19 — Final CPI y/y · forecast 2.9% · EUR
- 2026-08-19 — German 10-y Bond Auction · EUR
- 2026-08-19 — ECB President Lagarde Speaks · EUR
- 2026-08-19 — Crude Oil Inventories · forecast 0.2M · USD
- 2026-08-19 — FOMC Meeting Minutes · USD
- 2026-08-19 — President Trump Speaks · USD
Not investment advice. For informational purposes only.