Select Language

EUR: CPI can keep markets dovish on ECB - ING

Breaking news

EUR: CPI can keep markets dovish on ECB - ING

  • X
  • facebook
  • LINE
  • RSS

  • X
  • facebook
  • LINE
  • RSS
New update 2025.04.01 17:23
EUR: CPI can keep markets dovish on ECB - ING

update 2025.04.01 17:23

EUR/USD traded briefly below 1.080 yesterday before revering later in the session. The euro remains rather resilient to the whole tariff story anyway: despite the EU being among the biggest victims of this week's round of tariffs, European currencies are faring much better than China proxies or CAD, ING's FX analyst Francesco Pesole notes.

A move to 1.070-1.073 can be on the cards in the coming days

"What also may have helped the euro is a Bloomberg report suggesting that more ECB officials are ready to accept a pause in April. There is a possibility the ECB tipped the media as policymakers were uncomfortable with markets pricing in over 20bp of easing for the April meeting yesterday morning. The ECB probably wants to avoid a situation where it is led by market pricing to take a decision (cut) with the alternative (hold) being delivering a blow to an already turbulent bond market."

"Anyway, the implied probability of a cut as of this morning is still high (74%). We'll see what the flash CPI report for March tells us today, but the indications were modestly dovish from Germany yesterday and the consensus is for a decline from 2.6% to 2.5% in core eurozone inflation."

"We remain generally cautious about following any EUR/USD rally into the tariff event and instead see mostly downside risks, barring any meaningful US data surprise. We still think a move to 1.070-1.073 can be on the cards in the coming days if the US goes ahead with an aggressive tariff plan."


Date

Created

 : 2025.04.01

Update

Last updated

 : 2025.04.01

Related articles


Show more

FXStreet

Financial media

arrow
FXStreet

FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.

Was this article helpful?

We hope you find this article useful. Any comments or suggestions will be greatly appreciated.  
We are also looking for writers with extensive experience in forex and crypto to join us.

please contact us at [email protected].

Thank you for your feedback.
Thank you for your feedback.

Most viewed

US Treasury Secretary Bessent sees de-escalation with China - Bloomberg

The US Treasury Secretary Scott Bessent commented that the tariff standoff with China is unsustainable and that he expects a de-escalation of the situation.
New
update2025.04.23 01:33

USD/CAD stalls near 1.3850 as Fed controversy fuels further weakness

The USD/CAD pair is treading water near the 1.3850 zone on Tuesday, struggling to extend its rebound after printing a fresh six-month low closer to the 1.3800 handle.
New
update2025.04.23 01:30

Dow Jones jumps 900 points on Tesla optimism, but Powell tensions keep market fragile

The Dow Jones Industrial Average (DJIA) recovered on Tuesday, gaining over 900 points or 2.49% above the 39,000 figure as investors await Tesla's (TSLA) earnings report late in the day.
New
update2025.04.23 01:16

EUR/USD Price Analysis: Holds bullish tone despite mild pullback from highs

The EURUSD pair is flashing a bullish signal, currently seen trading around the 1.1500 area after posting a slight decline during Tuesday's session following the European close.
New
update2025.04.23 00:35

GBP/USD retreats from YTD high past 1.34 on Fed turmoil

The Pound Sterling reverses its course after reaching a daily high of 1.3423 due to concerns over the Federal Reserve (Fed) independence, spurred by US President Donald Trump's harsh comments against Fed Chair Jerome Powell. At the time of writing, the GBP/USD is trading at 1.3383, up 0.17%.
New
update2025.04.22 23:48

USD/CAD flattens around 1.3850 as US Dollar looks for firm-footing

The USD/CAD pair trades flat around 1.3850 during North American trading hours on Tuesday. The Loonie pair turns sideways after posting a fresh six-month low near 1.3800 as the US Dollar (USD) looks for a cushion after having a downside run in the last two weeks.
New
update2025.04.22 23:42

Lagarde speech: Either we cut or pause but we will be data dependent to extreme

In an interview with CNBC on Tuesday, European Central Bank (ECB) President Christine Lagarde said that they must be flexible and prepared to take action, per Reuters.
New
update2025.04.22 23:20

USD/JPY Price Forecast: At make or a break around 140.00

The USD/JPY pair recovers some of its intraday losses but is still trading down near 140.65 during North American trading hours on Tuesday. The asset has demonstrated a sharp downside move in the last two weeks and revisited the 21-month low near 139.60.
New
update2025.04.22 22:55

EUR consolidates rally from February lows - Scotiabank

The Euro (EUR) is softer, down 0.2% against the US Dollar (USD) and underperforming most of the G10 currencies along with Swiss Franc (CHF) and Australian Dollar (AUD), Scotiabank's Chief FX Strategist Shaun Osborne notes.
New
update2025.04.22 22:31

GBP/USD consolidates 10-day rally - Scotiabank

Pound Sterling (GBP) is entering Tuesday's American session flat against the US Dollar (USD) and showing signs of exhaustion following an astounding 10-session rally that culminated in Monday's surge through 1.34, Scotiabank's Chief FX Strategist Shaun Osborne notes.
New
update2025.04.22 22:30

Disclaimer:arw

All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.

The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.

  • Facebook
  • Twitter
  • LINE

Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy

I agree
share
Share
Cancel