| Time | Country | Event | Period | Previous value | Forecast | Actual |
|---|
| 07:00 | Germany | Factory Orders s.a. (MoM) | January | 12.0% | -6% | -11.3% |
EUR fell against other major currencies in the European session on Thursday as investors waited for an announcement of the outcomes of the European Central Bank’s March policy meeting later in the day.
The ECB will announce its policy decision at 1315 GMT, and its president Lagarde will hold a press conference at 1345 GMT.
While no change in interest rates is expected, the central bank will provide updated economic projections and might hint at its next policy steps.
The latest macroeconomic data from the Eurozone, showing a further cooling of the region’s inflation and the weak state of its economy, increased the pressure on the central bank to begin the interest rate easing cycle. However, the ECB’s policymakers continue to warn against a premature cut in interest rates, emphasising the need for more evidence that inflation in the euro area is falling to the 2% target before acting.
Investors believe June is the most likely month for the first rate decrease by the ECB. Overall, they expect three or, probably, four rate cuts by the end of the year.