The euro was little changed just below the $1.18 mark, hovering near its highest level since August 2021, as investors awaited clarity on the US administration’s upcoming tariff measures. President Trump is expected to send around twelve formal letters to trading partners later today, though it remains unclear whether EU nations will be among the recipients. Meanwhile, Commerce Secretary Howard Lutnick confirmed that the broader tariff package, originally set for a July 9 rollout, will now be delayed until August 1, offering temporary relief but extending uncertainty for importers. On the monetary policy front, markets now expect only one additional rate cut from the ECB this year. ECB officials have signaled that rates will likely be held steady at this month’s meeting following eight consecutive cuts since June 2024. With inflation aligning with the 2% target, policymakers are taking a cautious stance amid persistent global trade tensions and the euro’s recent appreciation.