12.02.202615:32:26UTC+00Euro Holds Below $1.19 as Markets Await US Inflation Data

The euro hovered just below the $1.19 mark as global investors awaited Friday’s US CPI data for fresh guidance, though any direct impact on the euro area is expected to be limited. The single currency’s advance was capped by stronger-than-forecast US employment figures released on Wednesday, which dampened expectations of an imminent Federal Reserve rate cut and lent support to the dollar. Earlier in the session, the euro had found support from indications that the European Central Bank remains largely unconcerned about the currency’s recent appreciation. Sentiment was further buoyed by reports that Bank of France Governor François Villeroy de Galhau, widely seen as a dovish voice on the Governing Council, will step down in June, well ahead of his term’s scheduled end in October 2027. Last week, ECB President Christine Lagarde said the euro area’s inflation outlook is in a “good place,” while warning that policymakers should avoid overreacting to isolated, volatile data releases.