ECB´s Schnabel: Headline inflation has begun to decrease – by fx_ross ECB EURUSD Currencies
She added that energy contributions are declining quickly yet financial turbulence has notable effects on markets.The euro fell sharply against a strengthening US Dollar on Friday amid lingering nervousness over banks.
Banking stocks plunged in Europe with heavyweights Deutsche Bank and UBS Group pummelled by worries that the worst problems to hit the sector since the 2008 financial crisis have not yet been contained.´´With so much tension gathering in the banking sector we are reluctant to alter our call that the USD may yet see further strength in the coming weeks on the back of safe haven demand,´´ analysts at Rabobank argued. ´´We still forecast at EUR/USD1.
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