The euro keeps losing grounds against the US dollar on Friday. Today, the rate fell down to some 1.1440 breaking the 1.15 handle, which was a strong support beginning from the start of summer. As a result, this was a downward signal and sellers prevent all recovery attempts immediately.
The main pressure is naturally coming from the strong greenback, which is ahead of its rivals making use from the trade war being a protective asset. At the same time, the US dollar is supported by persisting difference with the monetary policy of the EU, with the European Central Bank making no haste to raise the interest rate.
Moreover, the euro was also affected by the concerns expressed by the European Central Bank citing risks that regional banks can face from Turkey. In particular, the Turkish lira has slumped to the record bottom. Notably, UniCredit and BNP Paribas are also in danger as they make large operations in Turkey.
In this situation, traders will monitor the development of this factor in the near term, and the first signs of the lira recovery may push euro up, especially if the USD bulls lose steam.