Euro Edges Down as Investors Await US CPI Data

The Euro trades marginally lower against the US Dollar at the start of the European trading session on Wednesday, as investors become cautious ahead of the United States' Consumer Price Index (CPI) data for July.

The US CPI is expected to grow at an annual pace of 3.4%, down from 3.5% in June, while core inflation, which excludes volatile food and energy items, is seen lower at 2.5% Year-on-Year (YoY) compared to the previous reading of 2.6%.

The data will provide insight into price pressures in the US economy and may influence the Federal Reserve's interest rate decisions. A slowdown in inflation could ease fears of further interest rate hikes, which have already subsided significantly following weak US Nonfarm Payrolls (NFP) figures for July.