The euro rose in the European market on Monday against a basket of global currencies, maintaining its gains for the second consecutive day against the US dollar, nearing a two-week high, ahead of an important meeting between US President Donald Trump and his Ukrainian counterpart Volodymyr Zelenskiy.

The odds of a European interest rate cut in September have declined, due to persistent inflationary pressures currently weighing on monetary policymakers at the European Central Bank. To reassess those odds, investors are awaiting the release of more economic data from the eurozone.

Price Overview

Todays euro exchange rate: the euro rose against the dollar by 0.1% to (1.1715$), from Fridays closing price of (1.1703$), recording a low of (1.1693$).

The euro ended Fridays session up about 0.5% against the dollar, resuming gains that had paused the previous day amid corrections and profit-taking from the two-week high at 1.1730$.

The euro posted a 0.55% gain against the dollar last week, marking its second consecutive weekly increase, driven by fading expectations of a European rate cut versus rising expectations of a US rate cut.

Trump Zelenskiy Meeting

The main event for investors on Monday is a meeting between Trump and Zelenskiy, joined by some European leaders, at a time when Washington is pressuring Ukraine to accept a quick peace deal to end the bloodiest war in Europe in 80 years.

Trump is relying on Zelensky to reach a deal after his meeting with Russian President Vladimir Putin in Alaska, where he appeared more aligned with Moscow in seeking a peace agreement rather than a ceasefire first.

European Interest Rates

Recent eurozone inflation data showed persistent pressures on monetary policymakers at the European Central Bank.

According to some Reuters sources, a clear majority at the ECBs latest meeting favored keeping interest rates unchanged in September, for the second consecutive meeting.

Money market pricing for a potential 25-basis-point rate cut by the ECB in September is currently stable below 30%.

To reassess these odds, investors in the coming period are awaiting further economic data from Europe, along with remarks from ECB officials.