Comprehensive up-to-date news coverage

HomeNewsBusinessAfter Lagarde's remarks, the euro is trying to hold above $1.14

After Lagarde’s remarks, the euro is trying to hold above $1.14

Published on

Follow us on Google News for latest updates and information.

News Tech: The euro weakened for the second day in a row on Tuesday after European Central Bank President Christine Lagarde said there was no need to tighten monetary policy in the eurozone. Bond yields soared and the euro posted its best weekly performance since March 2020 last week after the ECB opened the door for a rate hike in late 2022 and said a meeting on 10. March will be key to deciding how quickly the central bank will withdraw funds. its long-standing bond-buying program.

After all, investors are well aware that once the ECB shock is absorbed, policy rates are likely to rise more in the US than in the euro area over the next few months, the strategists said. . . While money markets are pricing in up to 134 basis points of a cumulative interest rate hike from the US Federal Reserve for the remainder of 2022, analysts were expecting 50 basis points. ECB’s copy increased during that period.

The ECB’s hawkish move caught markets by surprise and pushed yields on peripheral debt, particularly Italy, higher on Monday as investors worried about the impact of faster monetary tightening. expected for the bonds of the most indebted countries.
But on Monday, Lagarde adopted a more cautious tone, saying high inflation is unlikely to continue, pushing the single currency lower. At the start of Tuesday’s trading session, the euro was down 0.3%, struggling to hold above $1.14.

However, the short-term outlook is in favor of the common currency, with bond yields widely seen between US and German 10-year debt narrowing at the end of January to around 170 basis points from a high of 194 basis points. published in April. The US Dollar Index rose 0.3% to 95.67. On Monday, bitcoin and the Australian dollar rallied as equity markets rallied in Europe, but then slightly weaker on Tuesday as cautious sentiment prevailed in Asia. The Aussie was generally steady at $0.7127.

See also  Nominations for the US Women in Finance Award close today

Latest articles

A Virginia Beach developer is challenging the city’s funding decision for a surf park project

In Science and Space: Key financial information about the proposed surf park for...

Crowds visit NYC for bull action despite Crypto Bear Market

News Tech: About 2,000 people attended the Messari Mainnet Crypto Conference this week...

How to Change Mouse Speed in Windows 11

Hello everyone, in this article we will show you how Change mouse speed in...

The Sebi chief is being questioned by the tribunal in the case of NSE and Ruchi Soya, which is owned by Patanjali

News Tech: Sebi chairman Madhabi Puri Buch appeared before a parliamentary panel on...

More like this

A Virginia Beach developer is challenging the city’s funding decision for a surf park project

In Science and Space: Key financial information about the proposed surf park for...

Crowds visit NYC for bull action despite Crypto Bear Market

News Tech: About 2,000 people attended the Messari Mainnet Crypto Conference this week...

How to Change Mouse Speed in Windows 11

Hello everyone, in this article we will show you how Change mouse speed in...

The Sebi chief is being questioned by the tribunal in the case of NSE and Ruchi Soya, which is owned by Patanjali

News Tech: Sebi chairman Madhabi Puri Buch appeared before a parliamentary panel on...

Privacy Settings Change IN Windows 11

Hello everyone, in this article we will tell you how to do it Change...

In the United States, the trial for the 1MDB corruption of the former banker Goldman has begun

In Science and Space: A jury on Tuesday began hearings in the case...