EUR/USD holds steady as traders await Jackson Hole Fed guidance

EUR/USD remains range-bound near 1.0900 as European markets open to subdued trading conditions, with minimal volatility expected ahead of Friday's pivotal Jackson Hole symposium. The pair shows limited movement as traders maintain cautious positioning, with Fed funds futures currently pricing in 84% probability of a 25 basis point rate cut at the September FOMC meeting. Market participants have moderated their aggressive easing expectations following last week's data releases, contributing to the current consolidation phase. Fed Chair Jerome Powell's keynote speech on Friday will be scrutinized for clues about the timing and pace of potential policy normalization. Technical indicators suggest EUR/USD is trapped between 1.0880 support and 1.0920 resistance, with low volume confirming the wait-and-see approach. The absence of significant economic releases until later in the week reinforces the likelihood of continued range-trading, making Friday's Jackson Hole commentary the primary catalyst for directional moves in major currency pairs.