Euro inched down in European trade on Thursday against a basket of major rivals, extending losses for the third straight session against the dollar away from recent three-week highs on profit-taking.

Now investors await important inflation data from several European countries today, including Germany, before releasing total eurozone data tomorrow for February.

The new data is expected to offer fresh pricing for the future of ECB interest rate cuts, especially in May and June.

EUR/USD

EUR/USD declined 0.1% to 1.0828, with a session-high at 1.0840, after falling 0.1% on Wednesday, the second loss in a row on profit-taking off three-week highs at 1.0888.

European Rates

Following European wages data and bullish remarks by ECB officials, the odds of a 0.25% rate cut by the European Central Bank in April tumbled.

Now investors are betting on a potential ECB rate cut in May and June.

According to the ECBs last meeting minutes, policymakers believe its still too early to talk about rate cuts despite signs of slower inflation in the eurozone.

ECB President Christine Lagarde said this week that wages growth remains strong, which will continue to prop up prices.

Inflation Data

Later today, consumer prices data for several European economies, including Germany, will be released, crucial for gauging the likely path ahead for European interest rates.