ECB's Schnabel says the exchange rate hasn't changed that much and that the energy price shock is the first order

• Unlike in 2022, we don't know how much of the reduction in supply is permanent.

Schnabel's comments suggest a more measured view on the euro's exchange rate, indicating stability relative to previous tumultuous periods. Her focus on the energy price shock as a primary concern signals that any potential policy adjustments may center around inflation factors rather than currency values, guiding Forex and Fixed Income market expectations accordingly.