EUR surrenders post-ECB gains despite hawkish undertone – Scotiabank

The latest reports indicate that the Euro (EUR) has failed to sustain the gains post-European Central Bank (ECB) decision. The ECB maintained rates and upgraded growth forecasts, but the market appears to be rejecting this bullish outlook. According to Scotiabank's Chief FX Strategists, Shaun Osborne and Eric Theoret, there is a reinforced view that the easing cycle has ended, yet the Euro's rise has been limited. Investors remain cautious about whether this maintenance of rates translates to future hikes. The market's muted response suggests that the Euro might fluctuate depending on upcoming economic indicators and further comments from the ECB, though it is currently in a retracement phase.