Citi discusses its expectations for tomorrow's ECB policy meeting.
"We expect the ECB to sound modestly dovish at Thursday’s Governing Council meeting, given slow progress in vaccination and stalling inflation expectations. We don’t expect any major policy news as financing conditions remain favorable. The asset purchase pace is likely peaking, while the Review, the potential expiry of the PEPP and the EUR probably are increasingly relevant, but not quite yet," Citi notes.
"We don’t expect much market impact from this Meeting and see upside for EURUSD overall,' Citi adds.