ECB chief economist Peter Praet tells the market that Draghi’s comments are not anything new
A mild tempering of gains suddenly turned into quick evaporation as the euro has pared all gains on the day against the dollar. EUR/USD fell to a low of 1.1737 on the back of Praet’s comments and that leans on the 100-hour MA (red line) @ 1.1738 once again.
Buyers have been able to keep up the near-term bullish bias in the pair so this is once again a key level to watch out for now. Move below and that bias will turn more neutral.
The euro has also slipped to a low of 0.8940 against the pound on the day and Praet’s comments have certainly helped to put a bit of a bid back in the dollar as flows move away from the euro. The greenback is firmer against commodity currencies on the day as well at the moment.