The European Central Bank (ECB) top supervisor Andrea Enria said on Tuesday, low ECB interest rates are now hurting bank margins more than they are boosting lending volumes.

Additional quotes

"The margin effect has been prevailing so there is a negative effect on bank margins but this is likely to persist for a while.”

“The low-rates environment had been a net positive for banks until mid-2020.”

EUR/USD reaction

These comments had little to no impact on the euro, as EUR/USD remains at the mercy of the US dollar price action.

The spot was last seen trading at 1.1584, modestly flat on the day.