ECB is said to lower 2019 inflation forecast in updated outlook later
Euro drops a little on the headline here
The report by Bloomberg here says that the ECB is set to lower its inflation forecast for next year with staff projections to be slightly weaker than the 1.7% previously expected for 2019. The sources cited also say that the outlook for economic growth has also been revised down.
I don't think it comes as much of a surprise that they will lower the forecasts as Q3 growth was still seen as sluggish and there aren't any convincing signs of a material rebound in Q4. As for inflation, that's likely to do with weaker oil prices over the past two months. But I still expect Draghi to put up a confident facade and the central bank is still expected to maintain their current forward guidance.
EUR/USD slipped from 1.1380 levels to 1.1367 on the headline but price is finding support from the key hourly moving averages currently.