US Dollar Price Forecast: Inflation Risks Lift DXY – Can GBP/USD and EUR/USD Hold Up?

US Dollar Price Forecast: Inflation Risks Lift DXY – Can GBP/USD and EUR/USD Hold Up?

Source: EODHD - https://finance.yahoo.com/markets/currencies/articles/us-dollar-price-forecast-inflation-082315469.html
Published: Jul 20, 2026 4:23 AM

US Dollar News: Fed Outlook Hit By Inflation Risk Renewal The US dollar was supported by US data showing strength and inflation fears were revived by high energy costs as the week got under way. Retail sales increased 0.2% and core retail sales by 0.5% in June, plus initial jobless claims dropped to 208,000. This supported the idea that the consumer and job market were still strong. Those data raised the chance that the Federal Reserve will maintain the rate in July; futures markets see 60% chance of a rate increase by September, given that war could lead to higher inflation. The European Central Bank meeting on July 23 will be the main focus for the euro, where rate decision will almost cer...

Market context: This update is relevant to EUR traders, with EURUSD as the primary instrument to monitor for follow-through, trend continuation, or headline volatility.