December 15th – 19th
EURUSD closed last week’s trading session higher on FED’s interest rate cut decision. As it was widely expected the central bank reduced interest rate by 0.25% During press conference and minutes released markets traded in mixed sentiment as uncertainty is spreading due to board’s division on future interest rates. Many members raised concerns on further rates reduction, with some other members, signal a maximum of another one or two rate reductions in 2026. The division and uncertainty weighted negative on US Dollar and pushed the pair higher for this week’s trading session.
As for this week, traders and investors will mainly focus on the US non-farm payrolls due to be released on Tuesday and US CPI on Friday. FED’s members’ speeches need to be closely followed as the division between FED’s members will generate significant volatility in the US Dollar.
On the Economic calendar we have on Tuesday the European manufacturing PMI pointing higher at 49.9 US nonfarm payrolls expected to add 35K new jobs with average hourly earnings pointing higher at 0.3% On Wednesday, European harmonized index of consumer prices to remain steady at 2.4% On Friday US CPI expected higher at 3.2%
Technically the pair is positive after last week’s close above 23.6% at 1.1739 Traders’ long positions took profits above 1.1700 and sell positions targeting profits at 1.1500
Position sentiment now is BUY 20% – SELL 80%
GBPUSD closed last week’s trading session higher on FED’s interest rate cut decision. As it was widely expected the central bank reduced interest rate by 0.25% During press conference and minutes released markets traded in mixed sentiment as uncertainty is spreading due to board’s division on future interest rates. Many members raised concerns on further rates reduction, with some other members, signal a maximum of another one or two rate reductions in 2026. The division and uncertainty weighted negative on US Dollar and pushed the pair higher for this week’s trading session. From GBP side traders and investors have been prepositioned for this week’s BOE meeting.
As for this week, traders and investors will mainly focus on the US non-farm payrolls due to be released on Tuesday and US CPI on Friday. FED’s members’ speeches need to be closely followed as the division between FED’s members will generate significant volatility in the US Dollar. BOE interest rate decision is due to be released on Thursday. The central bank is expected to keep interest rates unchanged at this meeting. The press conference and minutes will clear the path and future policy of the central bank.
On the Economic calendar we have on Tuesday the UK ILO unemployment rate pointing higher at 5.1% UK Services PMI expected at 51.3 US nonfarm payrolls expected to add 35K new jobs with average hourly earnings pointing higher at 0.3% On Wednesday, UK consumer prices index to remain steady at 3.4% On Friday US CPI expected higher at 3.2%
Technically the pair is neutral after last week’s close just below 38.2% at 13368. long positions are still open between 1.3369 – 1.3100 targeting profits above 1.3500 and short positions targeting profits at 1.3100
Position sentiment now is BUY 60% – SELL 40%
GBPUSD chart, December 13, 2025. Source: TenTrade.com
Key Takeaways
EURUSD gained last week on stronger-than-expected European CPI and a weaker US Dollar amid Fed rate cut signals.
GBPUSD also closed higher, supported by weaker US PCE data and positioning ahead of the Fed’s expected rate cut.
FOMC meeting on Wednesday is the main market focus, with the Fed expected to cut rates by 0.25%, while the press conference and updated projections could drive further USD moves.
Economic data to watch later this week includes Friday’s German HICP at 2.6% and UK Manufacturing Production at 1.7%, both expected to remain unchanged.
Technical outlooks: EURUSD shows a positive bias above 1.1642 with targets at 1.1700 (long) and 1.1500 (short); GBPUSD remains neutral around 1.3328 with long targets above 1.3500 and short targets at 1.3100.
For more detailed economic calendar events please visit our live economic calendar on:
https://tentrade.com/economic-calendar/
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