The EUR/USD dropped to a 5-week low in early European trade, before bouncing off a trend support. Some of the major euro crosses like the EUR/GBP and EUR/JPY also fell, suggesting that the earlier move was driven at least partly by disappointing German retail sales data that was released this morning. But the US dollar was up against most major currencies too, which provided additional pressure on the world’s most heavily traded currency pair. However, as we look forward to upcoming PCE inflation data on Friday, and more market-moving data in the next couple of weeks, the US dollar may start to ease back as most of ... (full story)