# EU/USD: Euro Hits 2025 High Versus Dollar on Europe Defense Spend Bets - Bloomberg

> The euro rose 0.5% to $1.0546, its highest since December 10, as the European Union proposed extending 150 billion euros in loans to boost defense spending. The currency has rebounded nearly 4% from a two-year low a month earlier.

- Date: 2025-03-04 · published 2025-03-04T12:00:00.000Z
- Category: macro · region Europe · magnitude low
- Page: https://feedsoft.ai/events/5803-eu-usd-euro-hits-2025-high-versus-dollar-on-europe-defense-spend-bets-bloomberg
- Commodities: [Euro (USD per EUR)](https://feedsoft.ai/c/EURUSD.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

EU defense borrowing lifts the euro and weakens the dollar, which can support dollar-priced grain and meal exports through currency effects.

## Read by commodity

- DXY: bearish ▼
- EURUSD: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| EURUSD | 2025-03-07 | 5 | +4.4% | 5.8 | The euro rose 0.5% to $1.0546 on European defense spending and EU loan plans, adding to the early-week rally. |
| DXY | 2025-03-05 | 1 | -1.2% | -3.6 | EU defense spending proposals lifted the euro on March 4, adding to the dollar's decline. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| EURUSD | 2023-12-22 | [Euro (EUR USD) Hits Strongest Since August as Dollar Eases on US Rate Bets - Bloomberg](https://feedsoft.ai/events/32927-euro-eur-usd-hits-strongest-since-august-as-dollar-eases-on-us-rate-bets.md) | +0.7% | -1.5% |
| EURUSD | 2023-04-13 | [Euro Surges to Strongest in a Year as Fed-Cut Bets Batter Dollar - Bloomberg](https://feedsoft.ai/events/36584-euro-surges-to-strongest-in-a-year-as-fed-cut-bets-batter-dollar-bloomberg.md) | -0.3% | -0.2% |
| EURUSD | 2023-01-23 | [Dollar edges lower vs euro on ECB rate hike bets \| Reuters](https://feedsoft.ai/events/37999-dollar-edges-lower-vs-euro-on-ecb-rate-hike-bets-reuters.md) | +0.2% | -1.4% |
| EURUSD | 2020-08-28 | [Euro (EUR USD) Revives Global Challenge for the Dollar’s Currency Crown - Bloomberg](https://feedsoft.ai/events/51823-euro-eur-usd-revives-global-challenge-for-the-dollar-s-currency-crown-bloomberg.md) | +0.1% | -1.7% |
| EURUSD | 2025-12-03 | [Euro hits almost seven-week high, dollar broadly lower](https://feedsoft.ai/events/21725-euro-hits-almost-seven-week-high-dollar-broadly-lower.md) | +0.4% | +1.2% |
| DXY | 2023-12-22 | [Euro (EUR USD) Hits Strongest Since August as Dollar Eases on US Rate Bets - Bloomberg](https://feedsoft.ai/events/32927-euro-eur-usd-hits-strongest-since-august-as-dollar-eases-on-us-rate-bets.md) | -0.8% | +1.5% |
| DXY | 2024-08-27 | [Pound hits two-year high on dollar, gains on euro \| Reuters](https://feedsoft.ai/events/29066-pound-hits-two-year-high-on-dollar-gains-on-euro-reuters.md) | +0.9% | -0.5% |
| DXY | 2026-07-30 | [CNY USD: Yuan Rises to Highest Since Early 2023 as Dollar Drops After Fed - Bloomberg](https://feedsoft.ai/events/18568-cny-usd-yuan-rises-to-highest-since-early-2023-as-dollar-drops-after-fed.md) | -1.2% | -1.9% |

## Sources

- bloomberg.com: https://www.bloomberg.com/news/articles/2025-03-04/euro-hits-2025-high-versus-dollar-on-europe-defense-spend-bets

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