Market participants may be wary of President Lagarde’s remarks at the ECB

Market participants may be wary of President Lagarde’s remarks at the ECB

22.07.2021

Yesterday, the three major U.S. stock indices all extended their gains, offsetting the losses seen at the start of the week. Cyclical stocks, such as cruise line shares, drove the market higher.The Dow Jones Industrial Average closed at $34,798, up 0.83% from the previous day. The Semiconductor Index (SOX) also rose 3.06% to 3,288, while gold prices remained in a tug-of-war around the $1,800 mark.

Ahead of today’s scheduled ECB policy rate announcement and statement, the euro is trading in a narrow range. The EUR/USD pair appears to have paused its decline yesterday, and on the 4-hour chart, the 20-period moving average is beginning to act as support. However, depending on the stance President Lagarde takes regarding the inflation target during today’s press conference, prices could see significant volatility, so it would be wise to adjust any open positions.

Today’s schedule includes remarks by Bank of England Deputy Governor Broadbent at 17:30 CET, the ECB’s interest rate decision and policy statement at 20:45 CET, U.S. initial jobless claims and a press conference by ECB President Lagarde at 21:30 ET, the Chicago Fed National Activity Index at 21:30 ET, and at 23:00 ET, theLeading Economic Index and Existing Home Sales, at 23:30: U.S. weekly natural gas inventories, and at 24:00: the U.S. Kansas City Fed Manufacturing Activity Index. We should remain vigilant to see if today’s ECB policy rate announcement triggers any significant movement in European currencies.

Past Market Reports

1. 20.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

2. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

3. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

4. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

5. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

6. 13.04.2026

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

7. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

8. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

9. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

10. 07.04.2026

    Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran