⚡ Euro softens toward 13‑month low near 1.1350 as rising US PCE inflation lifts US Dollar

**BREAKING: Euro Slides Toward 13-Month Low Against Dollar on PCE Inflation Data**

The euro weakened to approximately 1.1365 against the US dollar during early Asian trading Friday, hovering near its lowest level in thirteen months. The decline comes as stronger-than-expected US personal consumption expenditure inflation data has reinforced market expectations for additional Federal Reserve interest rate increases.

The EUR/USD pair faces continued pressure as traders reassess the monetary policy divergence between the European Central Bank and the Fed. Rising US inflation metrics are pushing the dollar higher across major currency pairs, creating headwinds for euro-denominated positions.

Traders and forex brokers should expect sustained volatility in the currency pair as markets digest the inflation implications. The weakening euro particularly impacts European exporters and cross-border payment providers operating between the US and eurozone markets.

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FXnCO Insight

** Currency traders should watch for potential euro support levels around 1.1350 while considering dollar-long positions as Fed rate hike expectations strengthen on persistent inflation pressures.

Source: FXStreet