From hawkish cut to dovish hold – Rabobank
Source Fxstreet
The ECB kept its policy rates unchanged, leaving the deposit facility rate at 3.75% and the main refinancing operations rate at 4.25%, senior macro strategist in Rabobank Bas van Geffen notes.
September rate cut remains very likely
“The ECB’s decision to leave rates on hold was moderated by a slightly dovish statement. We believe policymakers are inclined to look through near-term data, unless these materially impact their medium-term projections.”
“A September rate cut remains very likely, even though Lagarde stated that the outcome of that meeting is ‘wide open’. We see upside risks to our deposit rate forecast, but particularly later in the easing cycle.”
Disclaimer: For information purposes only. Past performance is not indicative of future results.
Recommended Articles
Once again, the price of Ethereum (ETH) has risen above $3,900. This bounce has hinted at a further price increase for the altcoin before the end of the year.
Ethereum fell below $3,000 after failing at $3,200, with resistance at $3,020 and key support at $2,880; a break lower could target $2,800 and $2,750, while a rebound needs $3,120–$3,150.
Bitcoin fell below $90,000 to around $88,300 as risk-off headlines hit markets, while on-chain data shows new whales now lead Realized Cap with a ~$98,000 cost basis and ~$6B unrealized losses.
Gold (XAU/USD) is seen extending the previous day's modest pullback from the vicinity of the $4,900 mark, or a fresh all-time peak, and drifting lower through the Asian session on Thursday.
President Trump's pledge to sign pro-crypto legislation boosts Bitcoin prices as he emphasizes keeping the US as a crypto leader.
