Amid the dollar’s bullish correction, the Euro has also lost its idiosyncratic bullish momentum. The ING Economists expect EUR/USD to test 1.05 support after the release of the Consumer Price Index (CPI) American.
Lack of internal drive
“Our medium-term view remains for EUR/USD appreciation throughout 2023, but we see no clear impetus for a EUR/USD rebound this week.especially from the eurozone side.”
“It would probably take a fairly low US CPI figure for the pair to sustainably return to above 1.0800-1.0850. We see a higher chance of the pair coming under some additional pressure, and a strong US CPI reading could mean 1.0500 support is tested. (1.0490 is the 2023 low).”
“ECB President Christine Lagarde will speak on Wednesday: we expect another attempt to create market expectations around further tighteningAlthough other ECB members have already come a long way in communication and we don’t see his speech as a major event risk for the Euro.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
