Comments from European Central Bank President Christine Lagarde emphasized on being gradual and sequenced in policy adjustment. That it was not an outright push-back could be interpreted as a hawkish sign, in the view of economists at OCBC Bank. 

EUR/USD to test the 1.1480/00 zone this week

“Comments from ECB’s Lagarde to the EU Parliament emphasized on being ‘gradual’ in policy adjustment and the sequence of ending asset purchases first. Overall, this can be seen as some substantiation from Lagarde. At least there was no clear push-back – and that should be taken as sufficiently hawkish for the market. .” 

“EUR-bulls may well be emboldened to test the 1.1480/00 zone this week.”