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22 May 2015
EUR/USD holds above 1.1000 ahead of Yellen speech
FXStreet (Córdoba) - EUR/USD fell sharply at the beginning of the New York session and scored 3-week lows as the dollar benefited from upbeat consumer inflation data.
EUR/USD lost more than 150 pips after data showed core consumer inflation rose by 0.3% in April, posting the largest increase since January 2013 while it rose 1.8% YoY. The dollar strengthened broadly as inflation remains close to the 2.0% target of the Federal Reserve, fueling expectations of a rate hike.
EUR/USD scored a low of 1.1000 but managed to hold above the psychological level and recovered some ground. At time of writing, the pair is trading at 1.1030, still 0.72% below its opening price.
Attention now turns to Federal Reserve Chair Janet Yellen who is scheduled to speak about the economic outlook at 17:00 GMT.
EUR/USD lost more than 150 pips after data showed core consumer inflation rose by 0.3% in April, posting the largest increase since January 2013 while it rose 1.8% YoY. The dollar strengthened broadly as inflation remains close to the 2.0% target of the Federal Reserve, fueling expectations of a rate hike.
EUR/USD scored a low of 1.1000 but managed to hold above the psychological level and recovered some ground. At time of writing, the pair is trading at 1.1030, still 0.72% below its opening price.
Attention now turns to Federal Reserve Chair Janet Yellen who is scheduled to speak about the economic outlook at 17:00 GMT.