Euro: afraid of deflation. Forecast as of 30.11.2023

The approach of German inflation to the 2% target requires ECB monetary expansion right now. Otherwise, the recession in the eurozone could drag on for a long time. Expectations of rate cuts are putting pressure on EURUSD. Let's discuss this topic and make up a trading plan.

Weekly Euro fundamental forecast

The slowdown in German inflation to 2.3% allowed ING officials to say that the ECB may underestimate the deflationary impulse in the same way it underestimated inflation two years ago. MoM price cuts are not just a German phenomenon, as they are spreading widely throughout Europe. Looking at Germany's weak economy,… Read full author’s opinion and review in blog of #LiteFinance