The euro is down despite a somewhat-surprising rate hike because the statement said:
ECB considers that key rates have reached levels that, maintained for a sufficiently long duration, will make a substantial contribution to the timely return of inflation to the target
That's a clear indication that rates have peaked and the only path forward from there is lower, albeit with the usual caveats. I don't see any way that Lagarde can be credibly hawkish after that.
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