ECB: concerned over volatility, not speed of EUR appreciation - Nomura

Analysts at Nomura explained that Draghi’s view on FX moves did not shift since the last meeting, showing concern over the volatility rather than speed of EUR appreciation. 

Key Quotes:

"Our economists still expect ECB normalisation to continue this year, with small shifts to the forward guidance at the March meeting, before announcing the termination of the APP in June. 

"We reiterate our expectation for a 10bp rate hike in December (see Communication problems) and expect EUR/USD appreciation to continue towards 1.30 by year-end."