EUR/USD rebounds strongly as softer May PCE inflation data heightens expectations for earlier Fed rate cuts. The easing inflation backdrop fuels dollar weakness and boosts the euro, with markets pricing in a higher chance of rate reductions starting by September. Traders monitor technical support near 1.0670 as bullish momentum builds.
EUR/USD rebounds above 1.0800 as softer US Core PCE data fuels stronger bets on Fed rate cuts. Cooling inflation signals easing policy ahead, boosting Euro against the dollar amid shifting market expectations.
Weekly Forex Forecast by Justin Bennett | Credit: ForexFactory.com
As traders digest recent U.S. data and await key central bank decisions, the DXY remains pivotal. The index holds above 105.00, eyeing resistance near 106.00, with support around 104.30. EUR/USD tests minor support near 1.0770; a break below 1.0700 could signal further downside. GBP/USD and USD/JPY await cues from Fed/ECB guidance. Watch for volatility around inflation releases and FOMC statements this week.
EUR/USD trades within a symmetrical wedge pattern ahead of the US Personal Consumption Expenditures inflation report. A breakout above 1.0890 may target 1.0950 and 1.1000, while a breakdown below 1.0780 could push prices toward March lows. Market awaits key data that could influence Fed policy.
EUR/USD faces resistance near 1.1700 as U.S. GDP growth surpasses 3.8%, boosting expectations for further Fed tightening. Meanwhile, the eurozone shows weakness amid ECB caution, widening the yield gap and pressuring the euro. Technicals suggest bearish momentum ahead. #Forex #EURUSD
EUR/USD climbs as US core PCE data signals cooling inflation, boosting expectations for a Fed rate cut as soon as September. The dollar weakens, helping the euro rebound from recent lows, though medium-term risks remain amid economic divergence between the US and eurozone.
EUR/USD rallies as Fed rate cut expectations rise following softer-than-expected PCE inflation data. The easing inflation signals boost bets on monetary easing this year, pressuring the dollar and lifting the euro toward key resistance near 1.0750. Markets await further Fed guidance.
Last week’s Federal Reserve, ECB, and BoE meetings confirmed no near-term rate cuts, fueling US dollar strength and euro weakness.
– **DXY** reclaimed 105.00; watch resistance at 106.00–106.50 for breakout potential.
– **EUR/USD** dropped below 1.0800; support at 1.0700 critical to hold.
– **GBP/USD** faces pressure with BoE’s cautious tone; key levels near 1.2300.
– **USD/JPY** steadied above 145.00 amid risk sentiment swings.
Follow Justin Bennett’s analysis on Forex Factory for detailed setups and market context going into the new week.
The US dollar extended gains as the Federal Reserve maintains a hawkish outlook, supported by rising Treasury yields and strong economic data. This momentum put pressure on other major currencies, with the euro and pound slipping amid weaker economic signals and dovish central bank comments.
USD/JPY nears the critical 150.00 level as strong U.S. jobs data and Fed policy speculation fuel dollar gains against the yen. Watch for potential volatility and intervention around this key technical barrier. Traders eye support at 147.80 and resistance near 150.00 amid ongoing market shifts. #Forex #USDJPY
