FX Daily: ECB hawks can make euro a winner in de-escalation trade

The dollar has taken a hit on a new de-escalation trade. President Trump has now signalled that the war will end in two to three weeks, but plans for the reopening of the Strait of Hormuz remain quite unclear. EUR front-end rates are catching up with the downside today, but hawkish ECB comments can make them stickier and make the euro emerge as an outperformer