- ECB leaves key policy rates unchanged at the January policy meeting.
- Focus remains on the ECB’s strategic review and post-meeting presser.
The EUR/USD pair held on to its mildly weaker tone below the 1.1100 round-figure he mark and had a rather muted reaction to the latest ECB policy announcement.
As was widely expected, the European Central Bank (ECB) decided to keep the key rates and communication settings unchanged at its monetary policy meeting this Thursday.
However, the fact that the ECB extended its more positive outlook for the region’s economy extended some support to the shared currency and provided a modest lift to the major.
With the policy announcement out of the way, the key focus will remain on the ECB’s strategic review – the first assessment of the central bank’s monetary policy in two decades.
This coupled with the ECB President Christine Lagarde’s comments at the post-meeting press conference will also be looked upon for hints about the policy path ahead and provide some impetus.
Short-term technical outlook