Fundamental Market Analysis for August 28, 2026 EURUSDEuro/US DollarSAXO:EURUSDFresh-Forexcast2004The euro begins the European session near weekly lows as the market approaches Federal Reserve Chair Kevin Warsh's speech with heightened attention to inflation risks in the US. Several Fed officials recently reiterated the need to maintain a firm stance on price pressures, and the probability of a rate hike by year-end has increased. This supports the dollar and limits EURUSD recovery. The local backdrop for the euro appears more mixed. Market participants are awaiting fresh data on inflation and economic activity in France, which could adjust expectations for the ECB. However, until their publication, the European currency lacks a new confirmed driver capable of outweighing the dollar's strength. At the same time, current ECB policy expectations provide some support for the euro, but they do not yet change the overall balance of the current session. The key factor remains the market's reaction to signals from the Fed at Jackson Hole. If Warsh confirms the priority of fighting inflation and does not soften rate expectations, demand for the dollar is likely to persist. A softer rhetoric would pose a risk to this scenario, but until such a signal appears, the basic fundamental backdrop remains in favor of further EURUSD decline. Trading idea: SELL 1.16500, SL 1.16800, TP 1.15750