ECB’s de Guindos: Downside risks have materialized

Dhwani Mehta FXStreet

“The downside risks have materialized, with Q1 worse than initially expected,” the European Central Bank (ECB) Vice President Luis De Guindos said on Friday.

Further comments

“Sees risk of negative feedback loop between companies, banks and sovereigns.”

“Withdrawal of stimulus must be careful. “

“Also have to avoid zombification of Eurozone.”

EUR/USD reaction

EUR/USD remains pressured below 1.1900 amid a broad US dollar comeback. The spot was last seen trading at 1.1893, down 0.16% on the day.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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