EUR/USD weaker, near 1.0630 post-German data

EUR/USD remains entrenched in the negative territory on Monday, testing lows in the 1.0630 region.

EUR/USD offered on poor CPI results

The pair has intensified its correction lower after advanced German inflation figures have come in below expectations for the current month. In fact, German consumer prices gauged by the CPI are expected to have risen at an annualized 1.9% vs. 2.0% initially forecasted.

The broader HICP has also disappointed markets, coming in at 1.9% vs. 2.0% previously estimated.

The results exacerbate the ongoing offered bias around the single currency along with a solid rebound of the greenback.

Later in the NA session, inflation figures tracked by the PCE area due followed by Personal Income/Spending and December’s Pending Home Sales.

EUR/USD levels to watch

The pair is now losing 0.70% at 1.0-624 facing the next hurdle at 1.0775 (high Jan.24) followed by 1.0798 (high Dec.5) and then 1.0873 (high Dec.8). On the flip side, a breakdown of 1.0587 (55-day sma) would target 1.0577 (low Jan.16) en route to 1.0452 (low Jan.11).