ForexLive European FX news wrap: Dollar tentative awaiting US CPI

<p>Headlines:</p><ul><li><a href="https://www.forexlive.com/news/eurusd-eyes-april-and-may-highs-in-latest-push-above-11000-20230712/">EUR/USD eyes April and May highs in latest push above 1.1000</a></li><li><a href="https://www.forexlive.com/news/gbpusd-stays-on-the-hunt-of-the-13000-mark-20230712/">GBP/USD stays on the hunt of the 1.3000 mark</a></li><li><a href="https://www.forexlive.com/news/usdchf-on-the-verge-of-a-steeper-drop-20230712/">USD/CHF on the verge of a steeper drop</a></li><li><a href="https://www.forexlive.com/news/audusd-gets-checked-back-ahead-of-us-cpi-data-20230712/">AUD/USD gets checked back ahead of US CPI data</a></li><li><a href="https://www.forexlive.com/centralbank/boe-global-economic-outlook-is-highly-uncertain-risk-environment-is-challenging-20230712/">BOE: Global economic outlook is highly uncertain, risk environment is challenging</a></li><li><a href="https://www.forexlive.com/centralbank/boes-bailey-uk-economy-financial-system-have-been-resilient-so-far-20230712/">BOE's Bailey: UK economy, financial system have been resilient so far</a></li><li><a href="https://www.forexlive.com/news/spain-june-final-cpi-19-vs-19-yy-prelim-20230712/">Spain June final CPI +1.9% vs +1.9% y/y prelim</a></li><li><a href="https://www.forexlive.com/news/us-mba-mortgage-applications-we-7-july-09-vs-44-prior-20230712/">US MBA mortgage applications w.e. 7 July +0.9% vs -4.4% prior</a></li><li><a href="https://www.forexlive.com/centralbank/fed-speakers-due-today-include-barkin-kashkari-bostic-mester-fed-beige-book-also-20230712/">Fed speakers due today include Barkin, Kashkari, Bostic, Mester. Fed Beige book also.</a></li></ul><p>Markets:</p><ul><li>JPY leads, GBP lags on the day</li><li>European equities higher; S&amp;P 500 futures up 0.3%</li><li>US 10-year yields down 3.8 bps to 3.944%</li><li>Gold up 0.2% to $1,935.18</li><li>WTI crude up 0.3% to $75.04</li><li>Bitcoin up 0.5% to $30,726</li></ul><p>It was a quieter session in Europe today as all the focus in markets is on the US CPI data to come later at 1230 GMT.</p><p>The dollar was softer initially but recovered some ground to keep more mixed, albeit marginally lower, on the day. EUR/USD stuck above the 1.1000 mark around 1.1020-30 levels while USD/JPY did fall below 140.00 to a low of 139.31 before keeping around 139.40-50 levels at the moment.</p><p>Meanwhile, cable got checked back on a move higher with the high earlier touching 1.2969 before retreating to 1.2915 currently. And AUD/USD also saw a similar move in a push to 0.6741 before falling back to 0.6690, near flat levels on the day.</p><p>In other markets, bond yields continue to be dragged lower while equities are keeping some optimism for a better (lower) set of inflation numbers later today.</p><p>Overall, the dollar is looking to be on the brink of a next leg lower and we'll see if the US CPI data will deliver on that.</p>

This article was written by Justin Low at www.forexlive.com.