EUR/USD is flattened in front of the planned Trump tariff tariff ads

EUR/USD Wobbles around 1.0830, because investors were moved to the side, focusing on Trump’s mutual tariff means to be issued on Wednesday.
This week, the American ISM PMI will also have an American dollar and a lot of employment data, ending with NFP on the march on Friday.
The EU committee agrees to provide a “term sheet” concessions for the USA.

EUR/USD trades to the side about 1.0830 in the Monday European session. The main pair of currencies consolidates when the US dollar (USD) decreases on the third trade day in a row before the planned tariff announcement by the President of the United States (USA) Donald Trump on Wednesday. The American dollar index (DXY), which follows the Greenback value compared to the six main currencies, publishes fresh 10-day lowest levels around 103.75.

Participants of the financial market expect that Trump’s mutual tariffs will be unfavorable for economic growth and ignite inflation around the world, including in the USA. According to Washington Post, the president still tells his advisers to boost commercial funds, and in recent days he would restore the idea of a universal tariff that would apply to most imports, regardless of which country they come from.

The Washington Post also showed that US President Trump expressed regret that he did not put on wider tariffs in his first term and was convinced that the fees would be a victory for the USA. Higher import duties will restore production work and add trillions of government income.

This week, investors will also focus on a lot of US economic data, such as the ISM (PMI) production managers and work market indicators, which will affect market speculation for the perspective of the Federal Reserve Monetary Policy (FED).

According to the CME Fedwatch tool, the Fed should keep interest rates at the current level at a meeting of May policy. However, the probability of lowering interest rates in June increased to 83.5% from 65.6% registered a week ago.

Daily Digest Market Movers: EUR/USD on the influence of flash German hicp data

In the Monday session for euro (EUR), the preliminary German harmonized consumer price indicator (HICP) will be influenced in March, which will be published at 12:00 GMT. It is estimated that the German HICP will boost by 2.4% year -on -year compared to 2.6% growth observed in February.
On Friday, March inflationary data of France and Spain showed that price pressure increased at a slower than expected pace. The impact of German inflation is expected to be constrained to market expectations in terms of the monetary policy perspective of the European Central Bank (EBC), because investors provide for the revival of inflation in the euro area due to Donald Trump’s tariff program.
Investors expect President Trump to impose significant tariffs on the euro area because he criticized the European Union (EU) for not buying American goods. According to World Population Review in 2024, Ireland and Germany were fourth and fifth, respectively, the largest nations with a trade surplus from the USA. Trump’s higher import duties in the euro area would significantly affect its economic growth. In European commercial hours, the President of EBC Christine Lagarde stated that each subsequent trade war would be a losing scenario and a decrease in the eurozone by at least 0.3%.
Last week, Trump also imposed 25% tariffs on the import of foreign cars and airy trucks that will come into force on Wednesday. In response, the EU committee warned against retaliation, but later agreed to provide the US to ensure partial removal of tariffs that have already reached and expected to boost on April 2, Bloomberg said.

Technical analysis: EUR/USD consolidates around 1.0830

EUR/USD trades indecision around 1.0830 at the beginning of the week. In the near future, the perspective of the pair remains tough because it occupies a 20-day interpretation average (EMA), which trads around 1.0773.

The 14-day relative strength indicator (RSI) cools below 60.00, which suggests that the stubborn momentum is over, but the deviation of the advantage is intact.

Looking down, the highest level of December 6 1.0630 will act as the main support zone for the couple. And vice versa, the 1.1000 psychological level will be a key barrier to the euro bulls.