Inflation in the Eurozone is likely to decline this year due to slowing wage growth, but the situation remains too uncertain for the European Central Bank to provide accurate interest rate forecasts, said ECB Chief Economist Philip Lane. Expectations for the U.S. Federal Reserve action also remain uncertain. At the moment, investors do not expect the Federal Reserve to cut rates until September.

Technical Analysis

EUR/USD is in a downtrend. Today's publication of the US Consumer Price Index may provide additional clues as to the Fed's possible actions.