06:13 AM EDT, 07/30/2025 (MT Newswires) -- The euro has remained under pressure across the board and is the worst-performing G10 currency this week, said ING.

The market's assessment of the European Union-United States deal is negative from an EU perspective, as also demonstrated by NOK/SEK trading around 1% higher than Friday's close, wrote the bank in a note.

ING expects another good session for the US dollar on Wednesday thanks to U.S. gross domestic product strength and a firm Federal Reserve stance. Q2 GDP numbers are also published across the EU on Wednesday. France reported stronger-than-expected, albeit mild, 0.3% quarter-over-quarter growth earlier Wednesday.

The European Central Bank wage tracker and Spain's July flash CPI will also be published on Wednesday.

The stark divergence in growth news between the U.S. and EU should underpin EUR/USD bearish momentum in the bank's view, and there is a good chance of a break below 1.150. That remains consistent with ING's long-standing call for a EUR/USD weakening in Q3 followed by a recovery to 1.18 in Q4.

Central and Eastern European (CEE) markets caught up with the sell-off in EUR on Tuesday, stated ING. EUR/HUF saw the biggest one-day move since April and EUR/PLN since early June.

While EUR/HUF only returned to mid-July levels, the EUR/PLN story seems more interesting. The bank has seen Poland's zloty (PLN) as overvalued here since the July central bank (NBP) rate cut and on Wednesday investors could see essentially full closure of that gap versus rate pricing.

With levels above 4.280, EUR/PLN has as such returned to early June levels and also ING's target. For now, there is probably little room for further PLN weakness, it added.

On the other hand, Thursday's inflation shows a dovish risk in the bank's view, which could open more room for EUR/PLN upside. As a consequence, ING remains bearish on PLN, but most of the space has already been used in its view.