{"id":719109,"date":"2026-07-30T13:22:10","date_gmt":"2026-07-30T13:22:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/uk\/719109\/"},"modified":"2026-07-30T13:22:10","modified_gmt":"2026-07-30T13:22:10","slug":"euro-strong-gdp-supports-september-ecb-hike-bbh","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/uk\/719109\/","title":{"rendered":"Euro: Strong GDP supports September ECB hike \u2013 BBH"},"content":{"rendered":"<p>Brown Brothers Harriman\u2019s (BBH) Elias Haddad reports <a href=\"https:\/\/www.fxstreet.com\/currencies\/eurusd\" data-fxs-autoanchor=\"\" rel=\"nofollow noopener\" target=\"_blank\">EUR\/USD<\/a> is consolidating after a rally driven by stronger-than-expected Eurozone Q2 GDP at 0.4% quarter-on-quarter. The recovery in Eurozone activity and above-target inflation reinforce expectations for a European Central Bank (ECB) rate hike in September, though Haddad notes existing market pricing limits Euro (EUR) upside.<\/p>\n<p>Eurozone data backs ECB tightening<\/p>\n<p>&#8220;EUR\/USD is consolidating yesterday\u2019s rally. Eurozone Q2 real GDP growth was double expectations at 0.4% q\/q vs. 0.0% in Q1 with gains broad-based across the major economies.&#8221;<\/p>\n<p>&#8220;The ECB projects real <a href=\"https:\/\/www.fxstreet.com\/economic-calendar\" data-fxs-autoanchor=\"\" rel=\"nofollow noopener\" target=\"_blank\">GDP<\/a> growth to average 0.8% in 2026 with risk skewed to the downside as renewed disruption of energy supplies would weigh on real incomes, spending, and investment.&#8221;<\/p>\n<p>&#8220;Bottom line, the recovery in Eurozone economic activity and above target inflation reinforces the case for the ECB to resume raising rates in September.&#8221;<\/p>\n<p>&#8220;That\u2019s unlikely to offer EUR much upside traction as the swaps curve already implies nearly 90% odds of a 25bps rate hike at the September 10 meeting.&#8221;<\/p>\n<p>(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. <a href=\"https:\/\/www.fxstreet.com\/info\/how-fxstreet-uses-ai?utm_medium=internal&amp;utm_source=ai-disclaimer\" rel=\"nofollow noopener\" target=\"_blank\">Know more.<\/a>)<\/p>\n","protected":false},"excerpt":{"rendered":"Brown Brothers Harriman\u2019s (BBH) Elias Haddad reports EUR\/USD is consolidating after a rally driven by stronger-than-expected Eurozone Q2&hellip;\n","protected":false},"author":2,"featured_media":719110,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[84,1294,56,54,55],"class_list":["post-719109","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-uk","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/719109","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=719109"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/719109\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/719110"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=719109"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=719109"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=719109"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}