Wrapped Near USD Price & Performance (WNEARUSD)

The euro’s strength against the dollar is under scrutiny as uncertainty looms over German politics. Friedrich Merz’s efforts to secure Green Party support for a major infrastructure package face challenges. Market volatility is expected as the parliamentary vote approaches, potentially impacting EUR/USD dynamics.1

The Canadian dollar gained traction against the U.S. dollar following a 25 basis point rate cut by the Bank of Canada. Rising oil prices, supported by smaller-than-expected U.S. crude inventory builds, bolstered the loonie. Trade negotiations and tariff concerns remain key factors influencing USD/CAD fluctuations.2

Germany’s ZEW Economic Sentiment index for March showed improvement, exceeding forecasts. However, weaker current conditions and focus on Germany’s debt reform vote left the EUR/USD pair relatively unchanged. Investors are closely monitoring developments as they weigh potential impacts on the euro.3