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The European Central Bank’s (ECB) Governing Council will discuss the German court ruling on the ECB bond purchases at the non-policy meeting on Tuesday at 1600 GMT, Reuters reported.

Assessing this development, “today’s ruling should increase uncertainty regarding the future to such an extent as to be negative for EUR assets in general. Italian bond spreads should see further widening pressure and the euro face pressure,” said Nordea analysts.

Market reaction

The EUR/USD pair, which lost more than 100 pips with the initial reaction and dropped to 1.0826, was last seen down 0.48% on the day at 1.0854.