Euro Recovers Above $1.06 Levels; EURINR Reclaim 88 Mark

Published on Sep 29, 2023 16:02

Euro recovers above $1.06 levels on Friday tracking a sharp pull back in dollar from recent multi-month highs. Deep correction in the greenback from 2023 highs above 106 mark is benefitting euro. A downturn by treasury yields, with the yield on the benchmark ten-year note giving back ground after reaching its highest levels since October 2007 is aiding dollar lower. Currently, the dollar index is quoting at 105.44, down nearly half a percent on the day. US inflation gauged by the PCE and Core PCE will be keenly watched for further cues. EURUSD in the meantime is quoting at $1.0651, up 0.57% on the day despite soft inflation data. Inflation in the Eurozone, as measured by the change in the Harmonzied Index of Consumer Prices, declined to 4.3% on a yearly basis in September from 5.2% in August. The annual Core HICP inflation, which excludes the prices of volatile items such as food and energy, fell to 4.5% from 5.3% in the same period. Retail Sales in Germany contracted 2.3% on year in August, while the Unemployment Change increased by 10K individuals in September and the Unemployment Rate held steady at 5.7% in the same period. Meanwhile, on the NSE, EURINR October futures added gains to 88.33, up 0.45% on the day.