ECB still negotiating legal aspects of new tool

The European Central Bank (ECB) is reportedly still negotiating the conditionality and the legal aspects of the new anti-fragmentation tool.

ECB President Lagarde is said to redoubling efforts to finalize a deal by this week's policy meeting.

Market reaction

The shared currency, which gathered bullish momentum on reports claiming that ECB policymakers were going to discuss a 50 basis points (bps) rate hike, preserves its strength following this headline. The EUR/USD pair was last seen trading at 1.0256, where it was up 1.15% on a daily basis.