Trading in European markets is likely to be subdued on Friday, as investors await U.S. President Donald Trump's decision on tariffs, which he is expected to announce on Saturday. In addition to tariff risks, on Friday markets will receive preliminary data on German and French inflation figures. On Thursday, after cutting rates by 0.25%, European Central Bank signaled that it did not rule out further rate cuts, citing progress in fighting inflation and weakness in the eurozone economy.

Later, the core personal consumption expenditure (PCE) price index is expected to be released in the US for December, a key inflation gauge for the Federal Reserve. system. This data may give the markets more insight into the Fed's future actions. actions of the Fed. Against the backdrop of current events, the EUR/USD currency pair is under pressure.