The Euro reached to its highest levels in 5 weeks during Asian trading session after the Polls results showing the winning of pro-EU party in the Dutch elections, giving the investors another reason to push the currency higher, after the Fed raised the interest rates. The Dutch Elections ar the most recent test for the populism sentiments against the EU and immigration. The first results also supported the previous polls, showing that the Prime Minister Mark Rota is most likely to be challenged by his far right opponent “Khairat Feilders”, reducing the risk of the Euro collapsing.
The Euro briefly reached to $ 1.0746, and the Euro gains were even in the wake of Fed’s rates hike, which is the third hike by the Fed since the Global Financial Crises. While raising rates usually supports the US dollar, the decision made it clear that there are no changes in the Fed’s view towards raising rates, which resulted in dollar’s selloff.