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EUR Crosses Touch New Lows, Volumes Spike on Dovish Villeroy

EUR
  • ECB's Villeroy states that disinflation is occurring "even faster than expected" an that the data is supportive of their view of a return to 2% inflation. Villeroy adds that they can look at rate cuts "when the time comes" in 2024.
  • EUR showing at new daily lows to coincide with the comments from Villeroy - seemingly admitting that disinflation is even "faster than expected"
  • An uptick in EUR futures volumes bolsters the move, with over 2k contracts trading on the headline for a cash equivalent of ~$375mln and keeping cumulative daily activity ahead of average for this time of day.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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