Ella 
The EUR/USD pair pulled back sharply on Wednesday, falling back towards the 1.0800 mark following a weakening of broad risk appetite. The EUR/USD pair is firmly stuck at technical resistance as investors prepare for a slew of European secondary economic indicators on Thursday, followed by the latest data on US quarterly GDP growth.
Eurozone consumer confidence is expected to hold steady at -14.3 for May, while the overall economic sentiment index is expected to recover slightly to 96.2 from 95.6. This is followed by US Q1 GDP later in the day, with Q1 GDP expected to ease slightly to 1.3% from 1.6%. The market, hungry for a rate cut from the Federal Reserve (FED), will be looking for signs of weakness in the US economy as strong growth, a tight labor market and inflation remain elevated, preventing the Fed from cutting rates at the pace that investors continue to expect.
Currently, the CME FedWatch tool shows a slight edge in pricing the Fed to keep rates unchanged in September, but hopeful traders continue to look for reasons to increase their bets on a rate cut.
The trading week will end with German retail sales on Friday, which are expected to contract in May at -0.1% on month. The Eurozone Core Harmonized Index of Consumer Prices (HICP) for the month ending May is expected to rise to 2.8% from 2.7%. US inflation data will be in focus, with the US Core Personal Consumption Expenditures (PCE) price index expected to be flat at 0.3% on month in April.
