Euro closes higher on positive comments

Euro benefited, Wednesday, from a boost due to the USD’s weakness after positive comments on inflation by the European Central Bank’s chief economist.
Euro/USD rose to 1.1814 compared to 1.1804, on Tuesday. The pair fell to a trading day low of 1.1799 versus a high of 1.1832.
“The pandemic emergency asset purchase program is not indicative of our monetary policy stance,” said Philip Lane, chief economist of ECB.
Lane stressed that the yield is still low, hailing easing measures taken by ECB that he sees as a catalyst of inflationary pressures reflected in recent readings regarding ex-food and energy prices in the Eurozone.
Lane also suggested that the ECB’s future guidance would imply that transitional factors are behind sharp increase of inflation to levels slightly above the official target.
Lane said investors should look beyond the sheer volume of asset purchases just a few days after officials decided to slow down buying in the fourth quarter.