Euro slides below key averages as Fed-ECB rate gap holds; focus turns to eurozone inflation data - VT Markets

The content here might not be relevant fo you. Would you like to visit the North America website? The euro extended its slide after the ECB lifted the deposit rate to 2.50% on 10 September, with EUR/USD falling in every session since and trading just above 1.1450, beneath its longer-run averages. The Fed matched the move on Wednesday, raising rates to a 3.75–4.00% range, which puts the policy midpoint at 3.875%; the spread over the ECB therefore remains 1.375 percentage points, unchanged from before either meeting. Fed projections now place a return to 2% US inflation in 2029, while the ECB’s latest outlook points to eurozone inflation at 2.5% next year.