# More crowded US dollar trade ramps up expectations for euro parity: Reuters poll

> A Reuters poll shows market expectations for euro-dollar parity are increasing as the US dollar trade becomes more crowded. Continued US economic resilience and potentially inflationary Trump tariff and tax policies have reduced expectations for further Federal Reserve rate cuts.

- Date: 2025-02-05 · published 2025-02-05T12:00:00.000Z
- Category: macro · region Global · magnitude low
- Page: https://feedsoft.ai/events/26273-more-crowded-us-dollar-trade-ramps-up-expectations-for-euro-parity-reuters-poll
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Euro (USD per EUR)](https://feedsoft.ai/c/EURUSD.md)

## Why it matters

Expectations of a firmer dollar and fewer Fed cuts support higher US dollar values, which can weigh on dollar-denominated commodity prices and make US feed exports less competitive abroad.

## Read by commodity

- DXY: bullish ▲
- EURUSD: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2026-06-24 | [US dollar strengthens to 13-month high on Fed rate hike expectations \| Reuters](https://feedsoft.ai/events/11985-us-dollar-strengthens-to-13-month-high-on-fed-rate-hike-expectations-reuters.md) | -0.1% | -0.4% |
| DXY | 2025-05-01 | [FOREX US dollar rallies on continued trade deal optimism; yen slumps \| Reuters](https://feedsoft.ai/events/24914-forex-us-dollar-rallies-on-continued-trade-deal-optimism-yen-slumps-reuters.md) | -0.4% | -0.8% |
| DXY | 2024-11-15 | [Dollar notches weekly gain as traders reassess rate cut expectations](https://feedsoft.ai/events/12704-dollar-notches-weekly-gain-as-traders-reassess-rate-cut-expectations.md) | +0.1% | +0.2% |
| DXY | 2023-10-12 | [Dollar gains after US consumer prices rise more than expected](https://feedsoft.ai/events/33817-dollar-gains-after-us-consumer-prices-rise-more-than-expected.md) | +0.9% | -0.6% |
| DXY | 2021-11-23 | [Dollar gains, euro recovers on better than expected data \| Reuters](https://feedsoft.ai/events/11254-dollar-gains-euro-recovers-on-better-than-expected-data-reuters.md) | +0.5% | +0.4% |
| EURUSD | 2024-12-04 | [Euro to stay weak, but avoid parity to USD for now: Reuters poll](https://feedsoft.ai/events/27174-euro-to-stay-weak-but-avoid-parity-to-usd-for-now-reuters-poll.md) | -0.1% | -2.4% |
| EURUSD | 2022-06-28 | [Euro dips as markets manage expectations of ECB rate hikes \| Reuters](https://feedsoft.ai/events/41157-euro-dips-as-markets-manage-expectations-of-ecb-rate-hikes-reuters.md) | -3.3% | -4.6% |
| EURUSD | 2022-07-13 | [Explainer: Why the euro's fall below parity versus dollar matters](https://feedsoft.ai/events/40708-explainer-why-the-euro-s-fall-below-parity-versus-dollar-matters.md) | +1.7% | +1.6% |

## Sources

- reuters.com: https://www.reuters.com/markets/currencies/more-crowded-us-dollar-trade-ramps-up-expectations-euro-parity-2025-02-05/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.