Citing people familiar with the matter, Reuters reports that the European Union (EU) member countries have reached an agreement on regulation for emergency gas cuts this winter.

The deal on the regulation is likely to affect the proposal, which urges the EU countries to cut gas use by 15% from August through to March next year.

According to Reuters, the deal is a weakened emergency proposal to curb their gas demand, with opt-outs allowing them to follow different national paths to prepare for Russian supply cuts.

Market reaction

EUR/USD is losing 0.82% on the day, currently trading at 1.1056.