Ella 
During early Asian trading on Thursday, EUR/USD was hovering around the psychological price of 1.0700. A weaker U.S. dollar supported the pair’s modest gains. Later in the day, Germany will release its GfK consumer confidence survey for April. In addition, the United States will announce the preliminary value of gross domestic product (GDP).
Data released by the U.S. Department of Commerce on Wednesday showed that U.S. durable goods orders increased by 2.6% monthly in March, compared with the previous increase of 0.7%, which was higher than the expected 2.5%; core goods (excluding transportation) increased by 0.2% monthly, lower than expected. 0.3%.
U.S. first-quarter GDP could provide clues about the strength of economic growth and provide direction for the Federal Reserve’s next steps. If the report shows stronger-than-expected data, it could spark speculation that the Federal Reserve will delay its rate-cutting cycle and boost the dollar. Markets have priced in a nearly 70% chance that the U.S. Federal Reserve will cut its benchmark interest rate in September, according to the CME FedWatch tool.
Across the pond, European Central Bank (ECB) policymakers are sticking to their plans to cut interest rates this year, although rising U.S. inflation could delay the Fed’s shift to easing policy. European Central Bank President Christine Lagarde said the European Central Bank may cut its deposit rate from a record high of 4% in June but remains open to further action. The European Central Bank’s dovish stance has put some selling pressure on the euro (EUR) and created headwinds for the EUR/USD pair.
