The euro rose in the European market on Wednesday against a basket of global currencies, resuming its gains that had paused yesterday against the US dollar, moving upwards towards its highest level in a week, benefiting from the decline in US currency levels ahead of the release of key US inflation data.


The rise of the single European currency is also supported by the decline in global oil prices, following a Wall Street Journal report that the International Energy Agency is considering the largest release of oil reserves in its history.


Price overview


Euro exchange rate today: The euro rose against the dollar by more than 0.2% to ($1.1636), from today’s opening price of ($1.1611), and recorded a low of ($1.1603).


The euro ended Tuesday's trading down 0.2% against the dollar, its first loss in three days, after earlier hitting a one-week high of $1.1667.


US dollar


The dollar index fell 0.2% on Wednesday, resuming losses that had paused in the previous session, and trading near its lowest level in a week, reflecting the decline in the US currency against a basket of major and minor currencies.


This decline comes amid a slowdown in demand for the dollar as the best alternative investment, with growing hopes for an end to the Iranian war, against the backdrop of intensive US efforts to reach a ceasefire agreement mediated by Russia.


Key US inflation data for February will be released later today, which will provide strong and decisive clues about the likelihood of the Federal Reserve cutting interest rates during the first half of this year.


global oil prices


Global oil prices fell by about 5% on Wednesday, after the Wall Street Journal reported on Tuesday that the International Energy Agency had proposed the largest release of oil reserves in its history to rebalance a market severely affected by the fallout from the Iran war and the closure of the Strait of Hormuz.


European interest rate


The money market's pricing of the likelihood of the European Central Bank cutting European interest rates by about 25 basis points this March is stable at 5%.


In order to reprice the above probabilities, investors are awaiting further economic data from the Eurozone on inflation, unemployment and wage levels.