EUR/USD is under pressure below 0.9800. It looks like this level is working as an anchor from the pair at the moment, in the view of economists at ING.

Still no benefits from falling gas prices

“Falling consumer confidence is hardly surprising, but the fact that the euro is drawing very little benefits from the recent drop in gas prices is likely a testament to how markets are clearly looking well beyond short-term dynamics and may actually be growing increasingly concerned about Europe’s energy supply for next year, not just this winter.”

“It looks like 0.9800 is working as an anchor from EUR/USD at the moment, and this could continue to be the case today unless we receive some truly exciting news from the ongoing EU summit, which has so far only displayed lingering divergence in EU members’ views on energy price caps.”

“We retain a bearish bias on EUR/USD and expect a drop below 0.9500 by year-end.”