Euro Rallies on Upbeat German and Eurozone Data, Later Falls

The  euro today rallied higher against the  US dollar following the  release of  upbeat German and  eurozone macro data in  the  early European session. The  EUR/USD currency pair later fell from its highs as  investor sentiment shifted, but rallied briefly on  the  weak US macro releases before falling again.
The  EUR/USD currency pair today rallied from a  daily low of  1.1359 in  the  Asian session to  a  high of  1.1394 twice each time retracing most of  its gains.
The  currency pair opened today’s session trading with a  bearish bias amid investor jitters regarding the  US-China trade talks. However, the  pair rallied higher following the  release of  the  upbeat German import price index for  May by  the  Federal Statistical Office in  the  early European session; the  print contracted by  0.1% beating expectations of  a  0.2% decline. The  pair extended its rally after the  release of  the  eurozone consumer price index data for  June by  Eurostat. The  headline print met expectations set at  an  annualized 1.2%, while the  core print came in  at  1.1% beating consensus estimates of  a  1.0% print.
The  pair later fell as  the  greenback recovered before rallying higher after the  release of  the  mixed US personal consumption expenditure data by  the  Bureau of  Economic Analysis. The  pair later fell after the  release of  the  upbeat University of  Michigan US consumer sentiment index.
The  currency pair’s future performance is likely to  be affected by  the  outcome of  tomorrow’s meeting between President Donald Trump and  Chinese President Xi Jinping.
The  EUR/USD currency pair was trading at  1.1370 as  at  16:38 GMT having fallen from a  high of  1.1394. The  EUR/JPY currency pair was trading at  122.60 having risen from a  low of  122.26.

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