- The pair navigates fresh lows in the boundaries of 1.1330.
- The greenback moves above the 97.00 handle, testing YTD peaks.
- EMU’s flash CPI surprised to the upside in October.
The sentiment surrounding the shared currency remains fragile so far on Wednesday, with EUR/USD dropping further to fresh lows in the 1.1330 region.
EUR/USD weaker on data
Spot faded the initial spike to daily highs around 1.1360, coming under renewed selling pressure and recording fresh multi-day lows around 1.1330.
The pair, however, managed to regain traction and rebound from lows after advanced inflation figures in Euroland showed headline consumer prices are expected to rise at an annualized 2.2% in October, while Core prices are seen gaining 1.1% over the last twelve months, both prints coming in above expectations.
Further releases in the region noted the unemployment rate stayed put at 8.1%, matching consensus.
Looking ahead, employment figures in the US private sector measured by the ADP index will be in the limelight later in the session seconded by the Chicago PMI and the EIA’s weekly report.
EUR/USD levels to watch
At the moment, the pair is down 0.05% at 1.1338 and a break below 1.1331 (low Oct.31) would target 1.1316 (200-week SMA) en route to 1.1299 (2018 low Aug.15). On the upside, the next hurdle emerges at 1.1415 (10-day SMA) seconded by 1.1475 (21-day SMA) and finally 1.1550 (high Oct.22).
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