GBPUSD

Recently, the increasing scenarios for Fed interest rate cuts were further strengthened by the inflation data in February falling below expectations. Our main focus will be the Fed decisions on March 19. Until that date, the FOMC Economic Projections and Fed Chairman Powell's messages will provide a crucial roadmap for guiding the expectations for currency pairs in the second quarter.

On the ECB front, Lagarde indicated that external shocks could make inflation volatile. While thoughts of a quarter-point interest rate cut for the April meeting persist, the ECB is cautious on this matter. It is critically important to monitor the macroeconomic indicators of the Eurozone and Germany leading up to the April meeting. Today, we will also be watching the Producer Price Index (PPI) data.