Euro clings onto gains as traders hold breath before ECB meeting

Euro clings onto gains as traders hold breath before ECB meeting

10 Sep 2020 09:15 AM
 

The euro held onto gains against the dollar on Thursday as traders braced for a European Central Bank meeting to gauge policymakers' views on the common currency's recent appreciation and its impact on inflation.

The Sterling steadied above a six-week low but could lose more ground due to growing concern that Britain and the European Union will fail to agree on a trade deal.

While markets expect the ECB to keep policy steady, investors will closely watch President Christine Lagarde's comments on how the euro's rise to a two-year high this month affects the outlook for inflation and economic growth.

The euro bought $1.1805, holding onto a 0.3% gain from the previous session.

The British pound traded at $1.2990, recovering slightly from a dip to a six-week low of $1.2839 on Wednesday.