EUR/USD tested into a near-term low of 1.0741 on Thursday as the latest Economic Bulletin from the European Central Bank (ECB) provided little new information for investors looking for guidance on when to expect rate cuts. The ECB continues to grapple with a lopsided European economy. Euro area price pressures remain higher than the ECB would like to see despite an ongoing softening in broad economic figures and faltering growth for the European economy.
US Initial Jobless Claims came in slightly better than expected, but a mid-tier data schedule for the US this week is keeping broad-market risk appetite hanging relatively in the middle. EUR/USD dipped on Thursday, falling toward 1.0740 before seeing a brief pullback in the US market session, but the pair remains hamstrung below the 200-hour Simple Moving Average (SMA) at 1.0800. Daily candlesticks have EUR/USD stuck on a near-term technical support level from 1.0750, and bidders will be tempted to drive the pair back into the bullish side of the 200-day SMA at 1.0835. The EUR/USD remains down over 3% from December’s peak bids at 1.1140.
