EUR/USD stages sharp rally, nears 1.2900

FXStreet (Córdoba) - EUR/USD gathered momentum and broke above the 1.2800 level to hit its highest level in three weeks on the back of weaker-than-expected US retail sales and PPI data.

EUR/USD has rallied more than 200 pips over the last hours, leaving the 1.2800 mark well behind, and printed a peak of 1.2882 in recent dealings as the dollar extends the selloff across the board. At time of writing, EUR/USD is trading at 1.2865, recording an impressive 1.66% gain on the day.

USD came under strong pressure as investors seem to be pushing back expectations of a rate hike by the Fed in the light of recent data.