EUR/XPF Outlook:
Slightly positive, but likely to move sideways, as the rate is near its recent average but lacks a clear driver.
Key drivers:
• The European Central Bank (ECB) remains committed to holding interest rates steady, which is keeping the euro stable.
• The recent rise in oil prices may affect inflation expectations in the Eurozone, indirectly supporting the euro against the XPF.
• Economic forecasts indicate potential depreciation of the XPF, suggesting a gradual shift in favor of the EUR over time.
Range:
The EUR/XPF is likely to hold within its recent stable range as neither currency displays strong momentum.
What could change it:
• An unexpected increase in oil prices could boost the euro further, enhancing its appeal.
• A significant dip in global tourism could negatively impact the XPF, leading to greater weakness against the euro.