The European Central Bank's policy normalization must continue, European Central Bank (ECB) Governing Council member and German central bank head Joachim Nagel said on Friday.

"I am confident that the ECB's Transmission Protection Instrument (TPI) would withstand legal challenges," Nagel added.

Market reaction

These comments don't seem to be having a noticeable impact on the shared currency's performance against its major rivals. As of writing, the EUR/USD pair was trading at 1.0223, where it was down 0.05% on a daily basis. Meanwhile, the pair remains on track to snap a three-week losing streak.