With the clear statement of ECB President Dragji stipulating that ECB was carring about negative inflation and
was seeking to reach its objective of 2% of inflation, June 4th may the date were ECB could announce a 0% rate policy or even a -0.25% which would mean decreasing by 0.50 base point the interest rate.
Market have understood and bought the idea. Therefore, the next step is towards 1.3550 and if the fall is quick and heavy, above that level as well.
If ECB confirm its decision, market would have bought the decision in advance . If ECB doesn't execute the decrease of interest rate, then, next stop can be again above .1375 and towards 1.3950. wait and see
was seeking to reach its objective of 2% of inflation, June 4th may the date were ECB could announce a 0% rate policy or even a -0.25% which would mean decreasing by 0.50 base point the interest rate.
Market have understood and bought the idea. Therefore, the next step is towards 1.3550 and if the fall is quick and heavy, above that level as well.
If ECB confirm its decision, market would have bought the decision in advance . If ECB doesn't execute the decrease of interest rate, then, next stop can be again above .1375 and towards 1.3950. wait and see
