Euro Edges Higher Ahead of ECB Policy Decision

The euro edged higher ahead of the European Central Bank's policy decision later today. According to Jin10, markets widely expect the ECB to keep rates unchanged, while the probability of a 25-basis-point rate hike in September stands at 84%. Investors are also watching how the ECB responds to renewed oil-price gains driven by the escalation of the U.S.-Iran conflict. Commerzbank's Antje Praefcke said in a report that the ECB may reinforce expectations for a September rate hike, but the euro is unlikely to benefit much because the market has largely priced in that view. EUR/USD rose 0.2% intraday.