Already Reached The Peak, The Euro Slipped - - Financial Market Media No. 1 in the World Already Reached The Peak, The Euro Slipped Already Reached The Peak, The Euro Slipped

May 20, 2021

Already Reached The Peak, The Euro Slipped

 The euro faltered again after the European Central Bank (ECB) warned that Europe faces increased and uneven financial risks.

Therefore, the current monetary stimulus of the central bank may be needed to support recovery from the coronavirus crisis.

The statement came after German 10 -year bond yields reportedly jumped to a two -year high of -0.08% as the start of the European session began.

Earlier, the euro touched its highest level since January, before declining slightly by trading around 1.22100 against the US dollar.

The prospects for the recovery of the European Zone are increasing as the European Union (EU) continues to move forward in launching the Covid-19 vaccination program.

The EU now provides more vaccines per capita than the United States and is on track to meet the vaccination target of 70% of adults by mid -July at current rates.

With a sharp drop in hospital admissions and deaths, the government may consider stepping out of coronavirus restrictions.

Nevertheless, in anticipation of a strong recovery, the ECB is still reluctant to change their loose monetary policy.

During the European session, the market also saw the release of European Zone inflation data which was recorded unchanged from the earlier estimate made earlier at 1.6%.

The next market focus will be on the publication of the minutes report of the Federal Reserve (Fed) meeting in the early hours of Thursday morning (2.00 am Malaysian time) to catalyze further currency movements.