EUR/USD Rises 0.4% as Trump Softens Tariff Stance, Gold Consolidates

EUR/USD climbed 0.4% to 1.0570 following reports that President Trump is reconsidering aggressive tariff proposals, easing concerns about global trade disruptions. The dollar index dropped 0.3% to 106.20 as markets reassessed the likelihood of immediate protectionist measures. Gold prices paused near $2,050/oz after last week's 1.2% gain, as reduced safe-haven demand offset ongoing dollar weakness. European currencies broadly benefited from the shift in trade policy rhetoric, with traders unwinding defensive positions built over recent weeks. Technical indicators show EUR/USD breaking above its 20-day moving average at 1.0550, targeting resistance at 1.0600. Gold maintains support at $2,035, though momentum has stalled as geopolitical tensions ease. The week ahead features key US Treasury auctions that could influence dollar direction, while any clarification on trade policy remains a primary market driver for risk sentiment and currency flows.