EUR/USD Reverses Gains Despite US Data Being Poor

US macroeconomic data continued to disappoint yet this did not help EUR/USD to extend its rally. While yesterday the currency pair was able to gain on the back of poor US indicators, today it erased its gains. The next trading week should be very important to the dollar as the Federal Reserve will hold a policy meeting and will release its economic projections.
PPI fell 0.2% in May instead of rising 0.1% as was predicted by analysts. The index rose 0.6% in April. (Event A on the chart.)
Michigan Sentiment Index dropped from 81.9 in May to 81.2 in June, according to the preliminary estimate, while experts predicted it to rise to 83.2. (Event B on the chart.)

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