• EUR/USD  bumped higher after Fed acknowledged easing inflation pressures.
• Rate markets still see November as a likely first rate cut.
• US NFP Friday to provide key labor figures.

EUR/USD bumped slightly higher after the Federal Reserve (Fed) released its latest rate outlook, with the US central bank citing an improvement in inflationary conditions, though targets remain unhit. The US Dollar (USD) eased broadly and risk appetite is taking a cautious step forward.

Markets will be awaiting key statements from the Federal Open Market Committee's (FOMC) press conference due to begin at 18:30 GMT, presided over by Fed Chair Jerome Powell.

EUR/USD technical outlook

EUR/USD found some early bidding post-Fed monetary policy report, ticking closer to 1.0700 as the pair springboards off intraday technical support from the 200-period Exponential Moving Average (EMA) near 1.0675 on five-minute charts.

A near-term technical ceiling remains firmly baked in at the 200-hour EMA at 1.0695, and a heavy supply zone is priced in above 1.0730 after last week's peak near 1.0750