EUR: 2 Reasons Why the ECB Not Likely A Big Event For EUR/USD – Danske

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The European Central Bank convenes on September 13th and also presents new forecasts. What can we expect?

Here is their view, courtesy of eFXdata:

Danske Research discusses its expectation for next week’s ECB September policy meeting.

“When ECB President Mario Draghi takes the stand next week, we do not expect it to be a big event for EUR/USD.

The first reason for this is that the ECB has already announced tapering of its asset purchases and pushed the debate about a rate hike well into 2019.

Second, in recent years, the ECB has preferred to prepare the market in advance of monetary policy meetings, which means ECB meetings have not been market movers for quite some time.

Over the past couple of years, the press conference has not moved EUR/USD more than around +/- 0.3%. As we see little possibility of the ECB announcing any substantial news at next week’s meeting, we look for this pattern to continue,” Danske argues.

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Yohay Elam – Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I’ve accumulated. After taking a short course about forex. Like many forex traders, I’ve earned the significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I’ve worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts.

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