The euro experienced a dip against the US dollar, briefly touching its lowest point since February 12th, trading around $1.04. This movement reflects investor reactions to key economic data releases and anticipation surrounding the upcoming European Central Bank (ECB) policy meeting. Adding to market volatility, US President Donald Trump announced new tariffs on goods from Mexico, Canada, and China, further influencing the EUR to dollar exchange rate.
Germany’s latest inflation figures remained steady at 2.3% in February. However, the core inflation rate showed a slight decrease, reaching a three-year low of 2.6%. France, on the other hand, saw a more significant drop in inflation, falling to a four-year low of 0.8%, exceeding expectations. Conversely, inflation rates in Italy and Spain both rose to 1.7% and 3% respectively, aligning with market forecasts. These mixed inflation signals across major Eurozone economies are closely watched as they feed into the ECB’s monetary policy decisions.
Alt: EUR to USD exchange rate chart showing recent fluctuations.
The ECB is widely anticipated to announce a fifth consecutive interest rate cut at their meeting next Thursday. This expectation is fueled by persistent concerns over slowing inflation and sluggish economic growth within the Eurozone. Market analysts are keenly observing for any signals of further monetary easing measures from the central bank, which could further impact the euro in dollar valuation.
On Friday, February 28th, the EURUSD exchange rate decreased to 1.0378, representing a 0.20% drop from the previous trading session’s 1.0398. Historically, the euro has seen significant fluctuations against the dollar. While the euro as a physical currency was introduced in 1999, synthetic historical data suggests the EUR/USD exchange rate reached a peak of 1.87 in July 1973, based on weighted averages of pre-euro currencies.
Looking ahead, projections from Trading Economics global macro models and analyst expectations suggest the EURUSD could trade around 1.03 by the end of the current quarter. The longer-term outlook indicates a potential further weakening of the euro against the dollar, with estimates pointing towards a rate of 1.01 within 12 months. These forecasts reflect ongoing economic uncertainties and anticipated monetary policy adjustments.
Alt: Table of EUR currency crosses including EURUSD, EURGBP, EURJPY and others, showing price changes.
The table below provides a snapshot of various EUR currency crosses as of February 28th, illustrating the euro’s performance against a range of global currencies:
| Crosses | Price | Day | Year | Date |
|---|---|---|---|---|
| EURUSD | 1.0378 | -0.0021 | -0.20% | Feb/28 |
| EURGBP | 0.8253 | 0.0001 | 0.01% | Feb/28 |
| EURAUD | 1.6717 | 0.0043 | 0.25% | Feb/28 |
| EURNZD | 1.8533 | 0.0077 | 0.42% | Feb/28 |
| EURJPY | 156.2815 | 0.5015 | 0.32% | Feb/28 |
| EURCNY | 7.5694 | -0.0216 | -0.28% | Feb/28 |
| EURCHF | 0.9372 | 0.0016 | 0.17% | Feb/28 |
| EURCAD | 1.5001 | -0.0010 | -0.06% | Feb/28 |
| EURMXN | 21.3261 | 0.0242 | 0.11% | Feb/28 |
| EURINR | 90.6642 | -0.1452 | -0.16% | Feb/28 |
| EURBRL | 6.1040 | 0.0299 | 0.49% | Feb/28 |
| EURKRW | 1,516.9672 | 8.3630 | 0.55% | Feb/28 |
| EURIDR | 17,159.5302 | -60.5976 | -0.35% | Feb/28 |
| EURPLN | 4.1911 | 0.0271 | 0.65% | Feb/28 |
| EURSEK | 11.2122 | 0.0310 | 0.28% | Feb/28 |
| EURCZK | 25.0660 | 0.0720 | 0.29% | Feb/28 |
| EURHUF | 406.1320 | 5.4815 | 1.37% | Feb/28 |
| EURNOK | 11.6815 | -0.0107 | -0.09% | Feb/28 |
| EURZAR | 19.3963 | 0.1992 | 1.04% | Feb/28 |
The current EURUSD spot exchange rate reflects the value of the euro in terms of the US dollar for immediate exchange. This rate is a key indicator for businesses and investors involved in transatlantic trade and financial transactions. Factors such as inflation differentials, interest rate policies, and geopolitical events significantly influence the euro to dollar exchange rate, making it one of the most actively traded currency pairs globally.
Alt: Historical EURUSD exchange rate data table showing daily values from 1957 to 2025.
Below is a table summarizing related economic indicators for both the Euro Area and the United States, providing context for the Eur In Dollar exchange rate dynamics:
| Related | Last | Previous | Unit | Reference |
|---|---|---|---|---|
| Euro Area Inflation Rate | 2.50 | 2.40 | percent | Jan 2025 |
| United States Inflation Rate | 3.00 | 2.90 | percent | Jan 2025 |
| Euro Area Interest Rate | 2.90 | 2.90 | percent | Feb 2025 |
| United States Fed Funds Interest Rate | 4.50 | 4.50 | percent | Jan 2025 |
| United States Non Farm Payrolls | 143.00 | 307.00 | Thousand | Jan 2025 |
| United States Unemployment Rate | 4.00 | 4.10 | percent | Jan 2025 |
| Euro Area Unemployment Rate | 6.30 | 6.20 | percent | Dec 2024 |
In conclusion, the euro’s recent weakness against the dollar is attributable to a combination of factors. These include mixed economic data from the Eurozone, anticipation of further ECB monetary easing, and the impact of newly announced US tariffs. Market participants will be closely monitoring the upcoming ECB policy meeting and further economic releases to gauge the future trajectory of the EUR in dollar exchange rate.
