EUR remained neutral. Overview for 03.03.2023

3 марта 2023 - Fx4News

EURUSD has stabilised after a series of amplitude fluctuations. The current quote is 1.0610.

The EU failed to support the EUR by good news. The prelim CPI in February turned out at 8.5% y/y instead of declining to 8.3% y/y, while earlier it was 8.6%. Base inflation is estimated at 5.6% y/y — higher than in January, when it was at 5.3%.

Prices in Europe remain high, and this is no news. The enforcement of the trend perfectly demonstrated by the purified inflation index must push the ECB towards increasing the interest rate.

The unemployment rate in the EU in January grew to 6.7%, which is also not the best of possible news.

One more interesting price release is scheduled for today, and this is the European PPI. It is expected to drop by 0.3% m/m upon growing by 1.1% earlier. If production prices do decrease somewhat, this will take some pressure off the market.