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Dollar Rebound, Energy Troubles Stymie

  • EUR/USD facing resistance near 1.0249 & 1.0270
  • At risk of deeper setback after U.S. yields roused
  • As U.S. data incites hawkish Fed policy response 
  • U.S. inflation the highlight quiet week for Europe
  • Minor chart supports at 1.0122, 1.0081 & 1.0024

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The Euro to Dollar rate was dealt setbacks from near and afar last week but it’s the risk of a more protracted upturn in U.S. government bond yields that would threaten to push it back toward July’s lows if U.S. inflation figures further incite a still-hawkish Federal Reserve (Fed) this Wednesday.

Europe’s single currency came close to the 1.03 handle against a retreating Dollar in the opening session of last week but its attempted recovery was cut short again by seemingly growing risks to energy supplies in Germany and some other European countries. 

But the Russian government’s ongoing attempt at using gas supplies to coerce its way out of European…

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