EURUSD maintains bullish momentum amid political uncertainty in the US
The EURUSD rate continues to strengthen amid US dollar weakness and expectations of further Federal Reserve policy easing, currently standing at 1.1659. Find out more in our analysis for 16 October 2025.
EURUSD forecast: key trading points
The US government shutdown continues into its third week, delaying the release of key macroeconomic data
Federal Reserve Chairman Jerome Powell noted signs of labour market weakness, reinforcing expectations for a rate cut this month
Markets anticipate another cut in December and three more next year
Fundamental analysis
The EURUSD rate is rising for the third consecutive session, showing a steady recovery after a prolonged correction. Buyers defended the 1.1550 level, increasing the likelihood that the downtrend has ended and a bullish impulse is underway. The US dollar remains under pressure from ongoing trade tensions between the US and China, the prolonged government shutdown, and expectations of further monetary easing by the Federal Reserve.
The shutdown, now entering its third week, has delayed the publication of crucial economic reports that could influence policy decisions. In his latest remarks, Jerome Powell highlighted signs of labour market weakness, strengthening investor expectations for a rate cut this month, followed by another in December and three additional cuts in 2026.
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