Euro plumbs two-month low ahead of ECB, pound under pressure

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Euro plumbs two-month low ahead of ECB, pound under pressure
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The euro slipped to a two-month low on Wednesday, as markets waited to gauge the...

TOKYO - The euro slipped to a two-month low on Wednesday, as markets waited to gauge the European Central Bank’s stance on policy amid bubbling expectations that it could eventually lower interest rates and join the global easing trend.

The euro’s decline has quickened ahead of the ECB’s policy meeting on Thursday. While markets have pared their bets the central bank would cut rates by 10 basis points, they still expect dovish guidance, paving the way for easing in September. The euro was also seen weighed down as the pound slumped toward a two-year low after Boris Johnson on Tuesday won the contest to be the next British prime minister and raised the spectre of a no-deal Brexit.

U.S. Trade Representative Robert Lighthizer and senior U.S. officials will travel to Shanghai on Monday for face-to-face trade meetings with Chinese officials, Bloomberg reported on Tuesday, citing unnamed sources.

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