Strategists at Goldman Sachs believe that the single currency could likely remain supported over the coming weeks amid hawkish ECB expectations.

Key quotes

"Our economists have a below-consensus growth outlook for the second half of the year and we think there are still significant downside risks from further gas disruptions, helping push near-term recession odds to around 40%.”

"But, at the same time we find it hard to be outright bearish on the Euro when the ECB is on the brink of such a momentous policy change: exiting negative rates after eight years. This week's Sintra meeting will likely help firm expectations for an imminent exit of negative rates and a broad anti-fragmentation "backstop."