The Euro (EUR) keeps its erratic performance unchanged so far this week and retreats marginally against the US Dollar (USD), motivating EUR/USD to gyrate around the 1.0980 region following the opening bell in the old continent on Wednesday.

Tracked by the USD Index (DXY), the Greenback manages to maintain the strong recovery in place since mid-July and still looks to consolidate the recent breakout of 102.00 - which was helped by rising US yields and some loss of appeal in the risk.

During this week, the attention of market participants will be drawn toward crucial economic data releases in both the United States and Europe. These releases are expected to challenge the recently emphasized data-dependency approach that has been adopted by both the Federal Reserve and the European Central Bank (ECB) in their decisions on interest rates.

The absence of relevant data releases in the Euro area should leave all attention to the US calendar, where the publication of the ADP Employment Change is expected to be at the centre of the debate. In addition, MBA will release its weekly report on Mortgage Applications for the week ended July 28.

Source : FX Street