Euro Off Intraday Highs Against Dollar; US Inflation In Focus

Published on Mar 12, 2024 15:05

Euro is coming off the days high and staying along the flat line on Tuesday amid renewed strength in dollar overseas. Investors await crucial U.S. consumer and producer prices data for more clarity about the Federal Reserve`s interest rate moves. The dollar index that measures the greenback against a basket of currencies is trading at 102.89, up marginally on the day. Meanwhile, benchmark 10-year US treasury yields are staying close to 4% mark. EURUSD is currently staying flat at $1.0928. German consumer prices posted its weakest rise since mid-2021, as initially estimated, on weaker energy and food prices in February, final data from Destatis revealed Tuesday. The consumer price inflation slowed to 2.5 percent in February from 2.9 percent in January. The last time inflation was lower was in June 2021, when it stood at 2.4 percent. Excluding energy and food, core inflation was 3.4 percent, the same as in January and matched flash estimate. This was well above the European Central Bank`s 2 percent target. On a monthly basis, inflation doubled to 0.4 percent, in line with estimate, from 0.2 percent.