Euro Drops on Weak Business Climate, Gains on Mixed US Inflation

The euro today posted gains against the US dollar following the release of weak US inflation data in the early American session. The EUR/USD currency pair today fell from session highs following the release of weak eurozone business climate data in the early European session.
The EUR/USD currency pair today traded mostly in a range marked by a high of 1.1167 and a low of 1.1143 and was trading at the top of this range at the time of writing.
The  currency pair rallied higher in  the  early Asian session before getting stuck in  a  tight range for  the  rest of  the  session as  investors remained unsure about the  single currency. The  pair later dropped to  its daily lows following the  release of  the  eurozone economic sentiment index for  April by  the  European Commission. The  print missed expectations by  coming in  at  104.0 versus the  consensus estimate of  105.0. The  business climate indicator also missed expectations by  coming in  at  0.42 versus the  expected 0.49. The  pair traded at  these lows up to  early American session as  investors remained worried about the  economic slowdown in  the  eurozone.
The  currency pair rallied slightly after the  Bureau of  Economic Analysis released the  latest US personal consumption expenditures report, which was mixed with some of the major components missing expectations. The rally was briefly interrupted before resuming with greater momentum.
The  currency pair’s short-term performance is likely to  be influenced by  tomorrow’s multiple releases from the  European docket.
The EUR/USD currency pair was trading at 1.1167 as at 15:14 GMT having rallied from a low of 1.1143. The EUR/JPY currency pair was trading at 124.93 having risen from a low of 124.40.

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