EURUSD tumbles back to 1.08 region, investors turn to US GDP and PCE inflation

Source Fxstreet
  • EUR/USD backslid into 1.0800 on Wednesday as risk appetite withers.
  • German inflation figures mixed in May, vexing ECB rate cut hopes.
  • US GDP growth, PCE inflation data key print this week.

EUR/USD pulled back sharply on Wednesday, falling back to the 1.0800 handle after broad risk appetite evaporated. The pair is trading firmly into technical resistance as investors gear up for a batch of mid-tier European economic indicators on Thursday, followed by an update to US quarterly Gross Domestic Product (GDP) growth.

Forex Today: Fed rate cut bets dominate the scene

Pan-European Consumer Confidence in May is expected to hold steady at -14.3, while the overall Economic Sentiment Indicator is expected to recover slightly to 96.2 from 95.6. After that, US quarterly GDP is expected later in the day, with Annualized Q1 GDP forecast to ease slightly to 1.3% from 1.6%. Markets hungry for rate cuts from the Federal Reserve (Fed) will be looking for signs of softening in the US economy as firm growth, a tight labor market, and still-high inflation figures hamper the Fed’s ability to deliver rate cuts at a pace that investors continue to look for.

At current cut, the CME’s FedWatch Tool is pricing in slightly-better-than-even odds that the Fed will be holding rates steady in September, but hopeful traders are continuing to look for reasons to step up rate cut bets.

The trading week will close off with German Retail Sales on Friday, which are expected to contract -0.1% MoM in May. Pan-European Core Harmonized Index of Consumer Prices (HICP) for the year ended in May is forecast to tick upwards to 2.8% from 2.7%. US inflation data will close out the trading week, with US Core Personal Consumption Expenditures (PCE) Price Index inflation expected to hold flat at 0.3% MoM in April.

EUR/USD technical outlook

EUR/USD has drifted back into the 200-day Exponential Moving Average (EMA) at 1.0802, falling sharply lower after failing to recapture the 1.0900 handle. The pair remains down in 2024, falling -2.15% from the year’s opening bids near 1.1035.

Despite being on the downside, the pair is holding on the high side in the near-term, up 1.8% from the April swing low into 1.0600.

EUR/USD daily chart

EUR/USD

Overview
Today last price 1.0802
Today Daily Change -0.0055
Today Daily Change % -0.51
Today daily open 1.0857
 
Trends
Daily SMA20 1.0808
Daily SMA50 1.0775
Daily SMA100 1.0812
Daily SMA200 1.0788
 
Levels
Previous Daily High 1.0889
Previous Daily Low 1.0855
Previous Weekly High 1.0884
Previous Weekly Low 1.0805
Previous Monthly High 1.0885
Previous Monthly Low 1.0601
Daily Fibonacci 38.2% 1.0868
Daily Fibonacci 61.8% 1.0876
Daily Pivot Point S1 1.0845
Daily Pivot Point S2 1.0832
Daily Pivot Point S3 1.081
Daily Pivot Point R1 1.0879
Daily Pivot Point R2 1.0901
Daily Pivot Point R3 1.0913

 

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
US September CPI preview: inflation set to hit 3.7% — will the Fed hike in December?US September CPI lands Wednesday with headline inflation seen at 3.7% y/y and core at 0.2% m/m. December hike odds sit near 70% — here are the scenarios, the calendar and the key levels.
Author  Irene Q.
Oct 10, Sat
US September CPI lands Wednesday with headline inflation seen at 3.7% y/y and core at 0.2% m/m. December hike odds sit near 70% — here are the scenarios, the calendar and the key levels.
placeholder
Yen inches toward 159 as Tokyo reopens — where is the line in the sand before 160?USD/JPY traded around 158.5 on Tuesday after Monday's 158.60 close — the highest since September 24 — as Tokyo reopened and the market re-focused on two dates dominating the yen calendar: the G20 finance ministers' meeting in Bangkok on October 15 and the Bank of Japan's October 30 decision. Here are the three forces leaning on the yen, the positioning picture, and the scenarios into Wednesday's US CPI.
Author  Irene Q.
Oct 13, Tue
USD/JPY traded around 158.5 on Tuesday after Monday's 158.60 close — the highest since September 24 — as Tokyo reopened and the market re-focused on two dates dominating the yen calendar: the G20 finance ministers' meeting in Bangkok on October 15 and the Bank of Japan's October 30 decision. Here are the three forces leaning on the yen, the positioning picture, and the scenarios into Wednesday's US CPI.
placeholder
Strong profits, falling shares: bank earnings day one meets a memory-chip rout — with CPI and ASML aheadGoldman Sachs blew past estimates (EPS $17.01 vs $13.09 expected, profit +33%) while JPMorgan missed ($5.75 vs $5.93) and Wells Fargo fell 3% — yet the S&P 500 finished flat at 7,805.45, pinned below its record close as a memory-chip rout (SOX −2.67%, Micron under $1,000) kept the pressure on. Tonight brings the week's decider: US September CPI at 8:30 ET, then Bank of America, Morgan Stanley, BlackRock and ASML before the open. Here are the levels, both cases, and the watch list.
Author  Irene Q.
Yesterday 06: 06
Goldman Sachs blew past estimates (EPS $17.01 vs $13.09 expected, profit +33%) while JPMorgan missed ($5.75 vs $5.93) and Wells Fargo fell 3% — yet the S&P 500 finished flat at 7,805.45, pinned below its record close as a memory-chip rout (SOX −2.67%, Micron under $1,000) kept the pressure on. Tonight brings the week's decider: US September CPI at 8:30 ET, then Bank of America, Morgan Stanley, BlackRock and ASML before the open. Here are the levels, both cases, and the watch list.
placeholder
Bitcoin's V-shaped rebound: from $80,953 back above $83,000 — spot buyers step in as the Fed softens, but ETF outflows lingerBitcoin slid to $80,953 on October 13 — then snapped back above $83,000, reclaiming the 81,847–82,305 'golden zone' on spot-led buying as Williams and Waller cooled the Fed's hawkish tone and the dollar pulled back from its 18-month high. But October ETF outflows near $386 million and a fear-and-greed reading of 56 say the repair is unfinished. Here are the levels, the transmission chain and both cases ahead of tonight's US CPI.
Author  Suzie
Yesterday 06: 36
Bitcoin slid to $80,953 on October 13 — then snapped back above $83,000, reclaiming the 81,847–82,305 'golden zone' on spot-led buying as Williams and Waller cooled the Fed's hawkish tone and the dollar pulled back from its 18-month high. But October ETF outflows near $386 million and a fear-and-greed reading of 56 say the repair is unfinished. Here are the levels, the transmission chain and both cases ahead of tonight's US CPI.
placeholder
Gold Price Analysis Today | Forex Gold Analysis | XAU/USD Analysis - October 14, 2026Get the latest gold price analysis, forex gold insights, and XAU/USD analysis for October 14, 2026. Read on for the details.
Author  Mitrade
Yesterday 07: 11
Get the latest gold price analysis, forex gold insights, and XAU/USD analysis for October 14, 2026. Read on for the details.
Related Instrument
goTop
quote