While equity markets generally welcomed the ECB's decision, the euro only moderately enjoyed the joke. It has to be said that, since the reintegration of the 1.1030 level, there had been reason to doubt the sustainability of the upward momentum. The break of 1.0760 drove the nail in, while the ECB finished the job and gave factual evidence for a continuation of the European currency's underperformance. It would take a particularly dovish speech from Jerome Powell to have any hope of reversing the trend. In anticipation of the Fed's policy meeting, followed by the monetary policy decision due next Wednesday, the euro could well take advantage of this to continue its slide towards the 1.0460/30 level.

Sterling awaits the BOE

For its part, sterling is also feverishly awaiting the decision of the Bank of England, which is due to rule on its key rates the day after the Fed. The BOE is facing an unprecedented crisis of confidence, with 40% of Britons believing that its efforts to combat inflation are insufficient. Technically, the Cable is in a structure very similar to that of the euro: after peaking last July, it has broken through several important supports and is now approaching its May lows at 1.2317, the last bastion before 1.2040.

Devises

Source : Bloomberg

Commodity currencies are currently benefiting neither from the energy boom nor from China's multiple stimuli. The AUDUSD remains stable between 0.6486 and 0.6374, equivalent to 0.5985 and 0.5865 on the NZDUSD.