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Euro falls on ECB, with dollar gains hitting across forex majors
The reaction to the ECB monetary policy announcements yesterday was remarkable. The euro has sold sharply lower as the ECB laid out its monetary policy plans for the coming months. Ending its Asset Purchase Programme with a taper into the end of December was broadly expected by the market even if the timing of the announcement was at the early end of expectations. However, an initial pop to the upside was then sharply sold into as markets digested the ECB’s forward guidance on rates which would be kept at record lows “through summer” next year and also tied to inflation developments. With the ECB sounding ... (full story)