Euro Forecast: EUR/USD Rebound Vulnerable to Rising US Inflation

  • 📰 DailyFX
  • ⏱ Reading Time:
  • 34 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 17%
  • Publisher: 63%

Coin Coin Headlines News

Coin Coin Latest News,Coin Coin Headlines

The US Dollar Index (DXY) may reestablish an upward trend following the Federal Reserve interest rate decision as it appears to be trading within a bull flag formation. Get your weekly $EUR forecast from DavidJSong here:

It remains to be seen if the ECB will adjust the forward guidance at its next meeting on February 3 as the core Consumer Price Index holds steady at 2.6% per annum for the second month, which is the highest reading since the data series began in 1997, and speculation for a change in regime may keep EUR/USD within the November range as the “G

overning Council stands ready to adjust all of its instruments, as appropriate and in either direction, to ensure that inflation stabilises at its 2% target over the medium term.Nevertheless, the update to the US CPI may sway EUR/USD over the coming days as the headline reading is expected to increase to 7.1% from 6.

With that said, EUR/USD may continue to track the November range over the coming days as it attempts to retrace the decline from the start of the year, but fresh data prints coming out of the US may sway the exchange rate as the Fed prepares to implement higher interest rates while the ECB remains in no rush to normalize monetary policy.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

DavidJSong Poesi

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 305. in COİN

Coin Coin Latest News, Coin Coin Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

USD/JPY struggles at 116.00 after mixed US NFP report amid higher US T-bond yieldsThe USD/JPY fails to gain traction after a mixed US Nonfarm Payrolls report, trading under the 116.00 threshold during the New York session. At the ti
Source: FXStreetNews - 🏆 14. / 72 Read more »