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Hawkish ECB policy update reinforces rebound for EUR/USD

• The ECB delivered another 25bps hike as expected and signalled another 25bps hike was “very likely” in July.
• ECB signalled it needs to be confident that core inflation is heading lower which is unlikely to happen until later this year.
• EUR/JPY has hit fresh YTD high above 153.00 & EUR/USD has extended this month’s rebound beyond 1.0900. More muted reaction for EUR/GBP ahead of next week’s BoE policy update.