Antje Praefcke, currency analyst at commerzbankdo not expect the EUR/USD pair to go much below 1.06.
The euro is likely to hold up quite well
The Fed will receive some important data, such as Friday’s PCE index, leading indicators (ISM index), as well as the labor market report and inflation data for February. All of them could push market expectations on the key rate a bit higher and make the market more confident that the cycle will only end at 5.50%.
Therefore, in case of strong data, the dollar could appreciate a little more, but since expectations have also increased that the ECB will find itself in a similar situation, that is, that its cycle will lengthen and go further, it is The euro is likely to remain fairly well positioned.”
“I don’t expect EUR/USD to go much below 1.06, but the lower end is likely to remain weaker for now..”
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.
