EUR/USD continues its losing streak for the sixth consecutive session, trading around 1.1030 during the Asian hours on Friday. Lower Eurozone inflation reading expectations raised of a rate cut by the European Central Bank (ECB) in October, which would mark the central bank's third reduction this year.

Earlier this week, the Harmonized Index of Consumer Prices dropped to 1.8% year-over-year in September, falling below the ECB's 2% target and lowest since April 2021. Markets reflect a 95% probability of a 25 basis point rate cut this month .

The risk-sensitive Euro may face challenges as escalating geopolitical tensions in the Middle East impact risk appetite. US President Joe Biden mentioned that the United States is in talks with Israel regarding potential strikes on Iran's Oil infrastructure.

Israeli Prime Minister Benjamin Netanyahu warned that Iran "will pay a heavy price" for Tuesday's attack, which reportedly involved the launch of at least 180 ballistic missiles at Israel, according to the BBC.(ayu)

Source: FXstreet