EUR/USD: Jackson Hole unlikely to give strong signals that justify a reassessment – Commerzbank

All attention today will be on the Jackson Hole symposium. Antje Praefcke, FX Analyst at Commerzbank, analyzes how the event could impact the EUR/USD pair.

A different environment than last year

Jackson Hole is certainly good for a few pips in EUR/USD this time as well. But these are rather adjustments, not real revaluations. Because I can't imagine that this time there will be similarly strong signals as last year that justify a reassessment in EUR/USD.

Circumstances are simply different now compared to last year when the fight against inflation overshadowed everything. After all, it now depends on the data how the almost finished hiking cycles will continue, which key interest rate will stay how high and for how long, and when it will fall again and by how much.