Today, we will hear from European Central Bank (ECB) President Christine Lagarde. Anyway, economists at ING expect the EUR/USD to struggle to see gains.

How will Lagarde address the energy bill caps?

“So far, post-meeting comments by ECB officials have stayed on the hawkish side of the spectrum and we see no reason for Lagarde to derail from this narrative today. What we’ll be watching closely is how the recent measures by EU members to cap energy bills will be embedded into the ECB’s policy assessment, and this is a factor that may cause a further divergence between the doves and hawks within the Governing Council.”

“The euro has displayed a reduced sensitivity to ECB communication recently and the unstable risk environment mixed with a strong dollar may keep EUR/USD upside capped for now despite the recent decline in gas prices.”

“The 1.0000 level could remain an anchor over the coming days.”