The EUR/USD pair remains subdued, struggling to recover above the 1.06 mark, as market sentiment leans cautious amid mixed economic data and central bank speculation. Persistent strength in the U.S. dollar continues to weigh on the euro, driven by higher U.S. Treasury yields and expectations of prolonged monetary tightening from the Federal Reserve. Meanwhile, sluggish eurozone growth data further dampens the outlook, keeping the common currency under pressure.
Source – FXStreet
Investors now focus on upcoming U.S. jobs data and inflation reports, which could provide fresh direction for the pair. However, with risk sentiment fragile and eurozone fundamentals offering limited support, a decisive rebound for the euro appears unlikely in the near term. Markets remain watchful for any signals from policymakers that could shift the current narrative.
