Euro’s Recent Gains Vulnerable to Looming Fed Chair Remarks

U.S. Dollar and Euro banknotes are seen in this illustration taken on July 17, 2022. Dado Ruvic/Illustration/Reuters

SINGAPORE/LONDON—Currency markets were bracing for remarks from Fed chair Jerome Powell on Thursday, waiting to see whether he would push back against the rally in U.S. Treasuries that has helped give support to the euro and pound.

The euro was last down 0.1 percent at $1.06985, but not far from Monday’s near two month peak of $1.0765, it is also doing well on the crosses at 161.6 yen, around a 15-year high.