- The EUR/USD drops below 1.1600 as the US Dollar strengthens broadly.
- June US Retail Sales beat expectations, rising 0.6% MoM.
- Eurozone Inflation holds firm in June, with headline CPI at 2.0% and Core CPI at 2.3%, matching expectations.
The Euro (EUR) extended its decline against the US Dollar on Thursday, weighed down by a stronger Greenback and upbeat US economic data. Robust Retail Sales and a solid Philly Fed Manufacturing reading reinforced the view that the Federal Reserve (Fed) may keep interest rates higher for longer, boosting demand for the US Dollar and weighing on the common currency.
EUR/USD remains on the defensive near the key psychological level of 1.1600 during the American trading session. At the time of writing, the pair is hovering around 1.1586, down roughly 0.50% on the day as sellers remain in control following a string of strong US data releases.
A fresh batch of US economic data on Thursday painted a picture of ongoing strength in consumer activity and a steady labor market. June Retail Sales rose 0.6% MoM, beating expectations of a 0.1% gain and rebounding from May’s sharp decline of -0.9%. Core Retail Sales, which exclude autos and gas, also climbed 0.5%, improving from a 0.2% increase the previous month.
Initial Jobless Claims for the week came in at 221,000, lower than the 235,000 forecast, signaling continued tightness in the labor market. But the biggest surprise came from the Philadelphia Fed Manufacturing Index, which jumped to 15.9 in July from -4.0 in June, far above expectations of -1. The stronger-than-expected data reinforced expectations that the Federal Reserve could keep interest rates elevated for longer, boosting the U.S. Dollar and weighing on major peers, such as the Euro.
On the Eurozone front, inflation data released earlier in the day offered little relief for the Euro. Headline Consumer Price Index (CPI) rose 2.0% YoY in June, in line with expectations and the European Central Bank’s (ECB) target. Core CPI, which excludes food and energy, also held steady at 2.3% YoY. While services inflation remained elevated, continued softness in energy prices helped cap broader price pressures. The data reaffirmed expectations that the ECB is likely to hold rates steady at its meeting next week, especially as inflation is showing signs of stabilizing.
Meanwhile, markets remain focused on trade developments, with optimism persisting that a deal between the US and the EU could be reached before August 1st. The EU’s trade chief, Maroš Šefčovič, is currently in Washington for urgent talks with U.S. officials, but uncertainty remains high. The prospect of a tariff flare-up has added another layer of risk for the Euro, especially as investors weigh the potential economic fallout for the bloc’s export-heavy sectors.
Euro PRICE Today
The table below shows the percentage change of Euro (EUR) against listed major currencies today. Euro was the strongest against the Australian Dollar.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.47% | 0.18% | 0.49% | 0.50% | 0.84% | 0.48% | 0.51% | |
| EUR | -0.47% | -0.30% | 0.00% | 0.06% | 0.39% | 0.03% | 0.07% | |
| GBP | -0.18% | 0.30% | 0.34% | 0.33% | 0.67% | 0.31% | 0.34% | |
| JPY | -0.49% | 0.00% | -0.34% | -0.03% | 0.31% | -0.01% | 0.02% | |
| CAD | -0.50% | -0.06% | -0.33% | 0.03% | 0.42% | -0.03% | 0.01% | |
| AUD | -0.84% | -0.39% | -0.67% | -0.31% | -0.42% | -0.45% | -0.29% | |
| NZD | -0.48% | -0.03% | -0.31% | 0.00% | 0.03% | 0.45% | 0.04% | |
| CHF | -0.51% | -0.07% | -0.34% | -0.02% | -0.01% | 0.29% | -0.04% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Euro from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent EUR (base)/USD (quote).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
