EUR/USD to remain relatively tepid in 2022 – NBF

FXStreet Insights Team FXStreet

The euro has depreciated 6.9% in the past twelve months. Overall, economists at the National Bank of Canada expect the common currency to remain relatively tepid in the coming year.

New year, old ways

“Christine Lagarde treads a fine line as the Fed and other major central banks start normalizing policy. Inaction could lead to weakness in the currency which could translate into higher imported inflation.”

“We expect the euro to remain relatively tepid in 2022. The common area will have to contend with supply chain issues and inflationary pressures while the ECB is unlikely to signal a significant change in policy until later this year.”

Author

FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

EUR/USD trims gains, back below 1.1800

EUR/USD now loses some upside momentum, returning to the area below the 1.1800 support as the Greenback manages to regain some composure following the SCOTUS-led pullback earlier in the session.

GBP/USD off highs, recedes to the sub-1.3500 area

Following earlier highs north of 1.3500 the figure, GBP/USD now faces some renewed downside pressure, revisiting the 1.3490 zone as the US Dollar manages to regain some upside impulse in the latter part of the NA session on Friday.

Gold climbs to weekly tops, approaches $5,100/oz

Gold keeps the bid tone well in place at the end of the week, now hitting fresh weekly highs and retargeting the key $5,100 mark per troy ounce. The move higher in the yellow metal comes in response to ongoing geopolitical tensions in the Middle East and modest losses in the US Dollar.