09.01.202609:28:46UTC+00Euro Slides to December Low Ahead of US Data

On Friday, the euro dropped to $1.165, its lowest point since December 9. This movement comes as investors await the US December nonfarm payrolls report and a possible ruling from the US Supreme Court regarding President Trump's use of emergency powers to enforce tariffs. Recent US economic data has highlighted a robust labor market, and any positive confirmation from the jobs report could further diminish the chances of imminent interest rate cuts by the Federal Reserve. Meanwhile, in the eurozone, declining inflation pressures have lowered expectations for any policy tightening by the European Central Bank. Eurostat reported that eurozone consumer price inflation decreased to a four-month low of 2% in December, aligning with the ECB's midpoint target. Core inflation also dropped to 2.3%, slightly below the anticipated 2.4%. In the euro area's major economies, price growth either slowed or remained relatively stable.