EUR/USD to trade around current levels for now – Commerzbank
|Eurozone inflation for November surprised to the downside but data was unable to move EUR/USD significantly. Economists at Commerzbank expect the pair to remain at current levels for now.
ECB is likely to continue moving in sync with the Fed
“Inflation data is likely to be sufficient to give the doves on the ECB board the upper hand at the December meeting. Even though yesterday’s data did not provide a convincing picture of falling inflation pressure due to the heavy fluctuation of energy prices. But for now, it is quite possible that inflation might have peaked in the euro zone too. That means the ECB is likely to continue moving in sync with the Fed and also reduce the speed of its rate hikes.”
“If the hawks amongst the Fed and ECB do not manage to influence market expectations significantly again there is a lot to suggest that EUR/USD will trade around current levels for now.”
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.