EUR/USD Stalls Near Mid-1.1500s Amid Iran Uncertainty and US Inflation Data

The EUR/USD pair remains stagnant near the mid-1.1500s against the US Dollar, as traders hesitate to make aggressive bets in anticipation of key economic releases and ongoing tensions in the Middle East.

The spot price has been hovering around 1.1545-1.1550 during the Asian session on Tuesday, but investors are cautious due to uncertainty surrounding the Iran crisis and this week's US inflation figures.

Last Friday, the pair touched its highest level since June 17, but the disappointing US Nonfarm Payrolls report has tempered expectations for an immediate interest rate hike by the Federal Reserve.

Cleveland Fed President Beth Hammack emphasized that current interest rates are not restrictive enough and that some rate hikes are necessary to achieve the 2% inflation goal.

The focus now shifts to Wednesday's US Consumer Price Index (CPI) and Thursday's Producer Price Index (PPI), which will provide critical cues about the Fed's future policy path and influence the USD and EUR/USD pair.