September 10, 2020 at 03:20PM
The single currency has returned to the offensive, exceeding 1.19 for EURUSD and 0.92 for EURGBP. ECB President Lagarde’s comments on euro dynamics were not as aggressive as some feared.
In her remarks, she noted that the dynamics of the FX are taken into consideration and discussed by Governing Council, but emphasised that the ECB does not target the rate.
Subsequent comments from Lagarde also dismissed fears of deflation. On the contrary, she noted that the inflation situation has improved since the last meeting.
In less than two sessions, EURUSD retrieved back two-thirds of the drop from its peak on 1st September.
Elsewhere in the markets, buyers have returned to the US Tech sector, which brought back optimism among participants. For the euro, this could be a strong bid for a new test of 1.2000, potentially targeting 1.2500 before the end of the year.
The FxPro Analyst Team
From: The FxPro Analyst Team https://fxpro.news/daily-economic-events/euro-jumps-against-dollar-pound-after-the-ecb-meeting-20200910/
Selected by fonecable.com
- What is FOMO in Trading? Characteristics of a FOMO Trader
- Analysis-In Japan, a weaker yen may not be the blessing it once was
- 10 Trading Mistakes to Avoid in Forex Trading
- The Psychology of Speculation in the Forex Market
- The New York Session: Forex Trading Tips