Monday (Oct 31) subsession, / choppy downside, temporarily traded at 0.9946, down 0.20%.
Thursday’s second consecutive 0.75 percentage point increase, but signaling growing concerns about growth, prompted investors to bet the bank would soon scale back the rate hike.
The ECB says inflation is coming from nowhere, mortgage borrowers will struggle and the energy crisis is hitting the custodians of the euro.
According to a statement, the ECB will raise its policy to 1.5%, the highest level in more than a decade.
The ECB also moved to limit the ultra-low interest rates it has lent to eurozone banks during the pandemic, a move that is expected to eventually raise borrowing costs for eurozone companies.
At a news conference, ECB President Christine Lagarde said the bank could raise interest rates further at future meetings.
But she also sounded a note of caution about the eurozone economy’s deteriorating growth prospects and stressed that the ECB had already made substantial progress in winding down.
Short LINE RESISTANCE at 0.9990-0.9995, short line IMPORTANT resistance at 1.0030-1.0035.
