EUR/USD Consolidation Fails Amid Bullish USD Bias
The EUR/USD pair continues to struggle for traction as the US dollar maintains its bullish bias. The Fed's recent rate hike and expectations of further tightening have pushed US bond yields to multi-year highs, supporting the buck.
ECB President Christine Lagarde has stated that a measured policy response is still appropriate, with no evidence of energy prices feeding into higher wages. This stance keeps Euro bulls on the back foot, warranting caution before confirming any meaningful recovery.
The EUR/USD pair is seen consolidating around 1.1365-1.1370 during the Asian session and trading near its lowest level since July 28. A convincing break below 1.1350 would be needed to back further losses, potentially dropping prices to the year-to-date low of 1.1325.