When are the Eurozone final CPIs and how could they affect EUR/USD?

Eurozone final CPIs estimate overview

Eurostat will publish the Eurozone's inflation final estimate for March at 09.00GMT today. Consumer prices are seen at 1.4% on a yearly basis, confirming the flash estimate. While the core figures are expected to arrive at 1.0% same as that reported in the first readout.

On a monthly basis, the CPI figure for March is seen sharply higher at 1.0% versus 0.2% previous while the core CPI is also expected to come in firmer at 1.4% versus 0.4% last.

Deviation impact on EUR/USD

Readers can find FX Street's proprietary deviation impact map of the event below. As observed the reaction is likely to remain confined between 10 and 40 pips in deviations up to 1.5 to -3, although in some cases, if notable enough, a deviation can fuel movements of up to 50 pips.

How could affect EUR/USD?

Karen Jones, Analyst at Commerzbank explains, “we look for the cross to remain capped by the near term resistance line at 1.2429 and we should see it head back to the 1.2266 2017-18 uptrend line and the 1.2215 current April low. We preferably need to see a close below the 1.2155 February low to confirm a top formation. Above 1.2429 lies the March highs at 1.2447/76.”

Key Notes

EUR/USD sidelined near 1.2370 ahead of EMU CPI

EURUSD: Minor resistance will again be seen at 1.2400

About Eurozone final CPIs estimate

The Euro Zone CPI released by the Eurostat captures the changes in the price of goods and services. The CPI is a significant way to measure changes in purchasing trends and inflation in the Euro Zone. Generally, a high reading anticipates a hawkish attitude which will be positive (or bullish) for the EUR, while a low reading is seen as negative (or bearish).