Lagarde speech: Uncertainties such as Brexit, US election, vaccine approval have been cleared
Some of the uncertainty has been cleared, such as Brexit, US election, vaccine approval, starting out 2021, the European Central Bank (ECB) President Christine Lagarde said while speaking at the Reuters Next online event on Wednesday.
Additional quotes
“Early stage of vaccine rollout laborious.”
“Start year on more positive bases than some argue.”
“Next-generation EU fund has to be rolled out quickly.”
“Dec economic projections clearly plausible.”
“Assumptions underlying forecasts still correct.”
“Forecasts based on lockdown measures until end Q1.”
“if bigger Pandemic Emergency Purchase Programme (PEPP) envelope is needed, we will recalibrate.”
“if don't need to spend PEPP envelope, won't spend it.”
“Compass for PEPP is favourable financing conditions.”
Market reaction
EUR/USD is a few pips off the daily lows at 1.2182, currently trading at 1.2191 after Lagarde’s comments. The spot loses 0.14% on the day, as the US dollar attempts a bounce amid rising coronavirus concerns globally.
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.
