EUR/USD Steady as Eurozone Retail Sales Fall 0.2% in February, Meeting Expectations

Eurozone February retail sales came in at -0.2% month-over-month, matching market expectations and representing a slight deterioration from the prior month's revised -0.1% reading. The data reflects continued softness in European consumer spending, suggesting that households remain cautious amid persistent economic headwinds across the bloc. The in-line print is unlikely to significantly move EUR/USD, as markets had already priced in the modest decline. However, the ongoing weakness in retail activity could weigh on the European Central Bank's confidence in the region's economic recovery, potentially reinforcing expectations for continued accommodative monetary policy. For EUR/USD traders, the data adds to a picture of subdued Eurozone domestic demand, which may limit euro upside in the near term. Key levels to watch include immediate support near the session lows, while resistance remains at recent highs. Traders should monitor upcoming Eurozone GDP revisions and ECB commentary for further directional cues, as retail weakness could factor into future policy decisions.