EUR/USD above 1.3870 ahead of Inflation Test

The euro held firm against the dollar on Tuesday after a solid performance the day before as expectations for additional stimulus from the European Central Bank waned.

The common currency rose 0.1 percent to $1.3862, having pulled up from Monday’s intraday low near $1.3815. The euro also rose 0.1 percent to 142.10 yen, well above a one-week low of 140.99 yen that had been set on Monday.

Moves among major currencies were muted in Asia, as a public holiday in Japan dampened trading activity.  A source said ECB President Mario Draghi had told German lawmakers the central bank was still a long way off from implementing a bond-buying program even in the face of persistently low inflation.

Reuters

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.