Resilient Eurozone inflation supports the Euro, offsetting Fed hawkishness and lifting the pair from intraday lows.
EUR/USD climbed to near 1.1530 in Friday’s American session, recovering from earlier losses. The Euro’s strength followed firm Eurozone inflation data, which eased concerns about a sharp economic slowdown in the region.
The pair had dipped earlier but found support as inflation figures met expectations, reducing pressure on the European Central Bank to cut rates aggressively. However, gains were limited by persistent hawkish signals from the Federal Reserve, keeping the USD resilient.
Markets now await further cues on monetary policy divergence between the ECB and Fed, with inflation trends remaining a key driver for the Euro’s trajectory.