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16 Apr 2014
EUR/USD eases from 1.3850 on CPI
FXStreet (Edinburgh) - The shared currency remained pretty much unchanged after the release of March CPI in the euro area, with the EUR/USD keeping the upper band near 1.3850.
EUR/USD indifferent after EMU data
Consumer prices in the euro bloc rose at an annual pace of 0.5% during March, matching expectations, while the Core reading came in at 0.7% YoY, a tad lower than the 0.8% forecasted. The bid tone around the EUR remains intact however, with market participants now turning their attention to the US docket, with Yellen’s speech in the spotlight. “A bounce back in April inflation towards 0.9% y/y from March's low of 0.5% y/y is probably needed to prevent the ECB from taking action next month with a refi rate cut and possibly leaving SMP purchases unsterilized”, suggested Brian Martin, Strategist at ANZ.
EUR/USD levels to watch
At the moment the pair is up 0.22% at 1.3846 with the next resistance at 1.3863 (high Apr.14) and then 1.3906 (high Apr.11). On the downside, a break below 1.3807 (low Apr.16) would open the door to 1.3790 (low Apr.15and finally 1.3780 (low Apr.9).
EUR/USD indifferent after EMU data
Consumer prices in the euro bloc rose at an annual pace of 0.5% during March, matching expectations, while the Core reading came in at 0.7% YoY, a tad lower than the 0.8% forecasted. The bid tone around the EUR remains intact however, with market participants now turning their attention to the US docket, with Yellen’s speech in the spotlight. “A bounce back in April inflation towards 0.9% y/y from March's low of 0.5% y/y is probably needed to prevent the ECB from taking action next month with a refi rate cut and possibly leaving SMP purchases unsterilized”, suggested Brian Martin, Strategist at ANZ.
EUR/USD levels to watch
At the moment the pair is up 0.22% at 1.3846 with the next resistance at 1.3863 (high Apr.14) and then 1.3906 (high Apr.11). On the downside, a break below 1.3807 (low Apr.16) would open the door to 1.3790 (low Apr.15and finally 1.3780 (low Apr.9).