
EUR/USD: How the Venezuela Shock Repriced Dollar Risk
The Catalyst: Why Venezuela Moved the Euro Typically, EUR/USD is a tug-of-war between ECB hawks and Fed data. However, the capture of Nicolás Maduro by U.S. forces created a "risk-off" vacuum. When the U.S. announced it would temporarily oversee Venezuelan governance, capital didn't just move—it migrated. The Market Logic: * The Safe-Haven Bid: Investors pivoted to USD liquidity to hedge against potential retaliatory moves from regional actors or global powers like China and Russia. * Proxy


