MUFG Research sees a scope for EUR to gain some grounds over the coming weeks.

"The euro is currently the worst performing G10 currency in July but the 2-year yield spread has started to turn in favour of some moderate EUR/USD recovery. That reflected a sharper jump in yields in Europe relative to the US," MUFG notes

"The ECB minutes should at least reinforce the current pricing of another rate hike in Europe while for the US next week’s CPI release and Fed Chair Warsh’s semi-annual testimony will be crucial for short-term yields

We continue to see risks of US yields turning lower that should reinforce renewed upward momentum for EUR/USD," MUFG adds.