EUR/USD: 1.0965-1.1065 could well be the holding pattern into Thursday's US PCE inflation data – ING

EUR/USD has briefly breached the 1.10 mark. Economists at ING analyze the pair’s outlook.

EUR/USD has good intra-day support at the 1.0965 area

For today, the focus will be on German CPI – expected to slow to 3.5% from 3.8% year-on-year and presage a softer Eurozone inflation release on Thursday. 

EUR/USD has nudged above 1.10 and now has good intra-day support at the 1.0965 area. Unless we see massive upside revisions to 3Q23 US GDP data today, we doubt EUR/USD needs to come a lot lower. 

And 1.0965-1.1065 could well be the holding pattern into Thursday's US PCE inflation data.