Reuters reported that The European Central Bank is keenly aware of citizens' concern about high inflation but is very unlikely to raise interest rates next year as price pressure are likely to abate, ECB board member Isabel Schnabel said on Thursday.
"This high inflation is causing growing concerns among people and we are taking these concerns very seriously," Reuters noted Schnabel saying at a financial conference.
"Despite the uncertainty, there remain good reasons to believe that inflation in the euro area will visibly decline over the course of next year and gradually fall back below our target of 2% in the medium term, meaning that the conditions … for raising rates are very unlikely to be satisfied next year," she added.
EUR/USD update
Meanwhile, the euro was pressured as the market bought the dip in the greenback which has taken EUR/USD all the way into test daily support.
The following is an analysis of the recent price action that arrives as a neutral scenario into the next key event of the Nonfarm Payrolls on Friday, albeit bearish thereafter, technical speaking from a longer-term perspective:
EUR/USD Price Analysis: Bears fill up on low hanging fruits left by the Fed
