EUR/USD to stay largely rangebound as ECB is in no hurry to cut interest rates – UBS
|Economists at UBS expect the Euro (EUR) to remain stable as the Europen Central Bank (ECB) will prefer not to rush policy easing
ECB remains reluctant to declare victory in the fight against inflation
Persistent price pressures in services and another round of a wage-price spiral remain concerning for several members of the ECB directorate, so we think the central bank is in no hurry to cut interest rates at this point.
This should ensure the Euro stays largely rangebound even amid subdued economic sentiment, limiting the potential for gains in the US Dollar Index (DXY).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.