TD Securities: Expected European Central Bank to cut interest rates by 25 basis points next week

According to the Golden Ten report, the European Central Bank will announce its interest rate decision on Thursday, and the market expects the bank to cut interest rates at that time. According to foreign exchange analysts at TD Securities, as the data is generally consistent with or weaker than the European Central Bank's December forecast, this meeting should directly cut interest rates by 25 basis points. The short-term market dynamics reflect the tightness of positions and valuations, which we believe will provide a good entry point for re engaging in new dollar long positions.