Euro Stabilizes Above $1.1600 Amid Downbeat Retail Sales

The Euro has stabilized above $1.1600 against the US Dollar on Tuesday, despite downbeat German Retail Sales data released earlier in the day.

The data showed a 3.4% decline in July retail sales, the sharpest drop in over four years, compared to market expectations of a 0.4% increase and flat performance in June.

This comes as the Eurozone is expected to report an acceleration in inflation to 3.3% year-on-year rate in August, from 2.9% in July, which could further support the European Central Bank's decision to hike interest rates at its upcoming meeting later this month.

The Euro is facing headwinds due to higher oil prices stemming from escalating tensions between the US and Iran, with Brent crude above $90 per barrel after a 6% surge from last week's lows.