{"id":60717,"date":"2023-04-14T11:10:18","date_gmt":"2023-04-14T08:10:18","guid":{"rendered":"https:\/\/ironfx-com-php8.wp-dev.int.theitops.net\/?p=60717"},"modified":"2025-10-13T13:32:48","modified_gmt":"2025-10-13T10:32:48","slug":"ecb-to-continue-its-war-path-in-raising-interest-rates","status":"publish","type":"post","link":"https:\/\/www.ironfx-id.com\/vi\/ecb-to-continue-its-war-path-in-raising-interest-rates\/","title":{"rendered":"ECB to continue its war path in raising interest rates?"},"content":{"rendered":"

ECB\u2019s Wunsch on Friday morning according to Reuters stated, “I think May will be about 25 or 50 basis points\u201d, potentially providing support for the EUR as in the event that further hawkish comments are made by fellow ECB members. On macroeconomic level, we highlight that the Eurozone\u2019s Industrial production ticked up, improving on a year on year and month of month basis, providing support for the EUR. In France we highlight the announcement due today by the French Constitutional Council. The verdict will address French President Macron\u2019s highly controversial pension reform that saw widespread strikes across France, following the decision to use article 49.3. In the event that the Constitutional Council rules in favour of the Government, we may see continued protests across France which on a macroeconomic level may have negative implications on the EUR in the long run. On the other hand, should the Council vote against the Government, we may see tensions easing and a return to normality. Potentially providing support for the common currency in the long run. On the other side of the Atlantic, we note the weaking of the USD across the board following yesterday\u2019s economic releases with the weekly Initial Jobless claims increasing to 239k in combination with the decline of the PPI for March nearing levels that were last seen in March 2020. Potentially indicating that inflationary pressures may be easing and as such the case for the Fed to continue hiking may be weakened, hence weaking the greenback. We note the release of earnings today by JP Morgan(#JPM), Wells Fargo(#WFC), with deposits expected to be reported lower according to Bloomberg. Furthermore, we note that during today\u2019s Asian session newly appointed BoJ Governor Ueda told his G20 counterparts that the BoJ will likely keep the monetary policy ultra-loose to stably and sustainable achieve is 2% target according to Reuters, thus potentially weakening the JPY.<\/p>\n\n\n\n

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