“It is very likely that we will see negative growth rates in the fourth quarter in the Eurozone,” European Central Bank (ECB) Vice President Luis de Guindos said on Wednesday.

Further comments

Upcoming inflation data projections will still be high before starting to slow down in the first quarter of 2023.

Upcoming inflation projections will show that core inflation will also still be high.

Market reaction

EUR/USD is receding from intraday highs of 1.0349 following the above comments and mixed French S&P Global Preliminary PMIs. The pair is still up 0.33% on the day.