This is via the folks at eFX.
For bank trade ideas, check out eFX Plus. For a limited time, get a 7 day free trial, basic for $79 per month and premium at $109 per month. Get it here.
Goldman Sachs discusses its expectations for ... ECB policy decision.
- "Our economists expect the ECB to deliver another 75bp rate hike, but also communicate that the pace of hikes could slow from here as the economy contracts, while potentially hinting at early QT discussions. This combination would be consistent with our longstanding view that the ECB is unlikely to be able to materially support the Euro," GS notes.
- "More aggressive rate hikes would be difficult to deliver on top of the energy price shock, and might not be all that currency-supportive anyways as it could risk re-igniting credit concerns. Our forecast is for EUR/USD to fall back to 0.97 in 3m, with risks skewed to more downside," GS adds.
