in an interview with Corriere della Sera over the weekend, Italy’s Prime Minister Mario Draghi said that the European Union (EU) can reduce energy dependence on Russia quicker than previously estimated

Key quotes

“Diversification is possible and feasible relatively quickly, shorter than we imagined just a month ago.”

“We have gas in storage and will have new gas from other suppliers,” Draghi said, adding that the effects of any “containment measures” would be mild.

“We are talking about a 1-2 degrees reduction in heating temperatures and similar variations for air conditioners.”

“Europe continues to finance Russia by purchasing oil and gas, among other things, at a price that has no relation to historical values ​​and production costs.”

Market reaction

EUR/USD remains in the hands of sellers amid a notable US dollar demand and firmer yields. The Fed-ECB policy divergence keeps the euro undermined amid broad risk aversion.

The spot is currently trading at 1.0792, down 0.11% on the day.