Ella 
EUR/USD climbed on Monday, falling to around 1.0980 before falling back to 1.0950, maintaining a choppy start to 2024.
Eurozone retail sales fell at a smaller-than-expected annualized rate in the year to November, recording -1.1% versus forecasts of -1.5%, while October retail sales fell at an annualized rate of -0.8% (revised upward from -1.2%).
The Eurozone’s Sentix investor confidence index rebounded from -16.8 to -15.8 in January, while the Eurozone consumer confidence survey index unexpectedly rose from -15.1 to -15.0, with market forecasts for it to remain stable at -15.1.
Eurozone retail sales also fell as investors expected, to -0.3% in November, compared with 0.4% in October (revised upward from 0.1%).
The latest euro zone unemployment rate for November will be released on Tuesday, with it expected to hold steady at 6.5%, while wider markets will focus on Thursday’s U.S. consumer price index (CPI).
U.S. Consumer Price Index (CPI) inflation data released on Thursday is expected to show a slight decline in recent core data, but the overall annual inflation rate will continue to remain stable, with the annual inflation rate as of December expected to rise slightly from 3.1% to 3.2%. Meanwhile, annual core inflation is expected to fall to 3.8% from 4%, with monthly core inflation expected to hold steady at 0.3% in December.
Markets will be looking for signs that inflation will continue to ease, with some investors hoping for a faster decline in price growth to push the Federal Reserve into its next rate-cutting cycle as early as possible.
