NEW YORK (dpa-AFX) – The euro moved very little in further trading on Tuesday. After shedding early losses and climbing above $1.07 on Wall Street after the start of trading, it held there. Around an hour before the market closed, the common currency was trading at $1.7070. The European Central Bank (ECB) had previously set the reference rate at $1.0662 (Monday: $1.0726). The dollar had thus cost 0.9379 (0.9323) euros.
Ahead of the forthcoming ECB interest rate meeting, nervousness increased in the currency market. The central bank is likely to initiate the monetary policy turnaround this Thursday because of the high inflation.
In all likelihood, it will announce the end of its net bond purchases at the foreign meeting in the Netherlands and possibly signal a first rate hike for the following meeting in July. It would be the first rate hike in more than a decade
