Will the release of the ECB meeting minutes cause the euro to rise? Caution is advised.
02.03.2023
- Remarks by MPC Member Pill (UK)
- Minutes of the ECB Meeting Released
In yesterday's U.S. currency trading, the pound held its ground against the dollar, with limited downside, causing GBP/USD to trade in a range between 1.1967 and 1.2086. GBP/USD fluctuated between the -2σ line and the 200-period EMA on the 4-hour chart, but since the 4-hour RSI is hovering closer to 30 than 70, we will be watching to see if the pound experiences a pullback.
The euro rose after German Bundesbank President Nagel, in an interview with Bloomberg TV yesterday, stated that “investors’ views on the measures needed to combat inflation are too complacent” and emphasized the need for stronger monetary tightening. The EUR/USD pair rebounded from 1.0564 to 1.0688.Following yesterday’s rise, the EUR/USD pair broke above the 4-hour 75-day moving average (MA) with a real body candle and reached the 200-day exponential moving average (EMA). We will be closely monitoring whether today’s release of the ECB meeting minutes causes any price movement.
Today, during European trading hours, France’s budget balance will be released at 16:45, followed by the Eurozone’s consumer price index and unemployment rate at 19:00, and at 21:30, theECB meeting minutes, followed by U.S. initial jobless claims and fourth-quarter real nonfarm productivity at 10:30 PM U.S. time, remarks by MPC member Pill at 12:00 AM, U.S. weekly natural gas inventories at 12:30 AM, and remarks by Fed Governor Waller at 6:00 AM the following day.We will be watching closely to see if the release of the ECB meeting minutes causes any shift in the euro’s upside potential.
Author: Keisuke Sakurai
