ECBs Holzmann says warnings of undershooting 2% him himare not warranted

ECBs Holzmann is speaking and says:

  • Warnings of undershooting 2% are not warranted
  • Policy need to say restrictive amid price risks.
  • In December, a cut is most likely outcome but is not certain.

There have been recent comments suggesting fears that inflation might be lower than expectations and move below the 2% target. Holzmann fights back.

The EURUSD remains below its 100 hour moving average at 1.0561, and its 200 hour moving average at 1.05793. The price would need to get above both to tilt the bias technically more in the buyers favor – at least in the short term. Absent that and the sellers are more control with the low from last week at 1.04956 (and low for the year) as the next key target.

This article was written by Greg Michalowski at www.forexlive.com. Source