When are the Eurozone final CPIs and how could they affect EUR/USD?

Eurozone final CPIs estimate overview

Eurostat will publish the Eurozone's inflation final estimate for September at 0900GMT today. Consumer prices are seen arriving at 2.1% on a yearly basis, confirming the flash estimate while the core figures are expected to arrive a tad firmer at 1% versus 0.9% last

On a monthly basis, the CPI figure for September is seen higher at 0.5% versus 0.2% previous while the core CPI is expected to come in at 0.2%, same as that seen in the first readout.

Deviation impact on EUR/USD

Readers can find FX Street's proprietary deviation impact map of the event below. As observed the reaction is likely to remain confined between 10 and 40 pips in deviations up to 1.5 to -3, although in some cases, if notable enough, a deviation can fuel movements of up to 50 pips.

How could affect EUR/USD?

A downside surprise in the readings could trigger, “A follow-through selling below 23.6% Fibonacci retracement level is likely to drag the pair below the key 1.1500 psychological mark towards its next support near the 1.1470-65 region. The negative momentum could further get extended towards monthly lows, around the 1.1435-30 region before the pair eventually drops to 61.8% Fibonacci Expansion level support near the 1.1385 area.  On the flip side, the 1.1575-80 region (38.2% Fibonacci retracement) now seems to act as an immediate resistance and any subsequent up-move might continue to confront fresh supply near the 1.1620 region,” Haresh Menghani, Analyst at FXStreet explains.

Key Notes

EUR/USD could see some weakness near term – Commerzbank

EUR futures: further rangebound likely

About Eurozone final CPIs estimate

The Euro Zone CPI released by the Eurostat captures the changes in the price of goods and services. The CPI is a significant way to measure changes in purchasing trends and inflation in the Euro Zone. Generally, a high reading anticipates a hawkish attitude which will be positive (or bullish) for the EUR, while a low reading is seen as negative (or bearish).