Dutch International Group analyst Francesco Pesole said in a report that even if Russia agrees to a 30-day cease-fire with Ukraine, or if Germany's chancellor-designate Friedrich Mertz's spending plan is approved, the euro is unlikely to appreciate significantly. He said that the peace agreement in Ukraine has largely been digested by the market. In addition, he said, it is also necessary to weigh the long-term impact of the cease-fire clause on Ukraine and the European Union. He also said that the market has almost completely absorbed Germany's expectations of reaching a formal multi-party agreement to increase defense and infrastructure spending. “Our opinion for the rest of March remains that the EUR/USD exchange rate is more likely to fall to $1.080 than to rebound to $1.10 again.” EUR/USD fell 0.2% to $1.0873.

Dutch International Group analyst Francesco Pesole said in a report that even if Russia agrees to a 30-day cease-fire with Ukraine, or if Germany's chancellor-designate Friedrich Mertz's spending plan is approved, the euro is unlikely to appreciate significantly. He said that the peace agreement in Ukraine has largely been digested by the market. In addition, he said, it is also necessary to weigh the long-term impact of the cease-fire clause on Ukraine and the European Union. He also said that the market has almost completely absorbed Germany's expectations of reaching a formal multi-party agreement to increase defense and infrastructure spending. “Our opinion for the rest of March remains that the EUR/USD exchange rate is more likely to fall to $1.080 than to rebound to $1.10 again.” EUR/USD fell 0.2% to $1.0873.