Ella 
EUR/USD rose to nearly 1.1065 during the European morning trading on Wednesday. The U.S. dollar (USD) weakened against the euro (EUR) after U.S. President Donald Trump’s tariffs took effect. Traders will get further clues later on Wednesday from the release of the FOMC minutes. The Federal Reserve’s Thomas Barkin will also speak on the same day.
A new round of high tariffs imposed by Trump on products from several countries around the world took effect on Wednesday morning. Overall, imports from 86 countries faced tariff increases ranging from 11% to 84%. Rising global trade tensions and recession fears fueled by Trump’s tariff policies have pushed the U.S. dollar lower, creating a tailwind for EUR/USD.
Across the Atlantic, bets rose on the European Central Bank to cut interest rates next week and again in June as the risk of Donald Trump’s widespread tariffs push the euro zone into recession could limit upside for the common currency. Investors now see a nearly 90 percent chance of a 25 basis point rate cut at the next ECB rate-setting meeting on April 17, up from 70 percent previously, according to Bloomberg data.
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