Overall trade outlook remains uncertain, even though earlier this week, the U.S. hinted it might consider reducing tariffs on Chinese imports.

The U.S. Federal Reserve (Fed) kept interest rates unchanged at its latest meeting. Chairman Jerome Powell reiterated that controlling inflation remains the top priority. However, the increased tariffs pose potential risks of a future recession and higher inflation.

On the other hand, the European Central Bank (ECB) cut interest rates by 25 basis points to 2.25%. This rate cut continues to be driven mainly by economic data within the eurozone. As a result, investors anticipate that the ECB may cut interest rates again in June.

Source: Fxstreet