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Selling pressure on the Euro (EUR) eases as the US Dollar (USD) surrenders part of its early advance on Thursday, allowing EUR/USD a modest recovery. Having touched a new 18-month low near 1.1066 earlier in the day, the pair trades broadly unchanged around 1.1090 during European trading. After reaching a new 18-month peak of 103.08 earlier in the day, the US Dollar Index (DXY) pulls back towards 102.90 in the European session. The index tracks the Greenback against a basket of six major currencies. Rising inflation in the United States (US) has prompted traders to further strengthen their hawkish expectations for the Federal Reserve (Fed), keeping the US Dollar’s outlook firm.
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