ECB's Nagel: Policy normalisation must continue

Eren Sengezer FXStreet

The European Central Bank's policy normalization must continue, European Central Bank (ECB) Governing Council member and German central bank head Joachim Nagel said on Friday.

"I am confident that the ECB's Transmission Protection Instrument (TPI) would withstand legal challenges," Nagel added and noted that they still expect favourable growth in Germany and in 2022 and 2023.

Market reaction

These comments don't seem to be having a noticeable impact on the shared currency's performance against its major rivals. As of writing, the EUR/USD pair was trading at 1.0223, where it was down 0.05% on a daily basis. Meanwhile, the pair remains on track to snap a three-week losing streak.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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