EUR/USD drops below 1.04 s DAX vaults 20,300

The European equity markets are still very much on the front foot today. The CAC 40 has now risen above 7,500 and the DAX has now reclaimed the 20,300 handle for the first time this year. At the same time, the dollar has continued to pare earlier losses. The EUR/USD has just now fallen below the 1.04 handle again, as US yields continue to remain elevated. However, the USD/JPY is not higher than earlier reported, so we have a pullback in the EUR/JPY just now too. The EUR/USD just now fell to a fresh European session low at 1.0390 which means it is still above the earlier Asian low at 1.0376. Earlier reports here noted how the Euro had failed to react positively to the higher EU HICP data and that observation has been born out in the price action since then. Shortly the Fed governor, Barkin will be speaking and he might have a further impact on the EUR/USD, which is currently trading at 1.0391