# How long can the Central Banks’ divergence last | Amundi Research Center

> An Amundi research note from July 26, 2024 argues that diverging central bank policy rates are unlikely to move exchange rates much. It flags US long-end yields and energy price shocks as the bigger risks for European currencies.

- Date: 2024-07-26 · published 2024-07-26T12:00:00.000Z
- Category: macro · region Global · magnitude low
- Page: https://feedsoft.ai/events/29488-how-long-can-the-central-banks-divergence-last-amundi-research-center
- Commodities: [Euro (USD per EUR)](https://feedsoft.ai/c/EURUSD.md)

## Why it matters

The note frames currency risk around energy shocks rather than rate gaps, which matters for buyers pricing euro-denominated feed costs against dollar benchmarks.

## Read by commodity

- EURUSD: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| EURUSD | 2019-10-29 | [Draghi leaves Lagarde to heal rift at European Central Bank \| Reuters](https://feedsoft.ai/events/56784-draghi-leaves-lagarde-to-heal-rift-at-european-central-bank-reuters.md) | +0.5% | -0.7% |
| EURUSD | 2024-09-12 | [European Central Bank cuts interest rates again and lowers growth forecasts](https://feedsoft.ai/events/28530-european-central-bank-cuts-interest-rates-again-and-lowers-growth-forecasts.md) | +0.9% | -0.6% |
| EURUSD | 2021-09-02 | [Rates Spark: Convergence or divergence \| ING THINK](https://feedsoft.ai/events/45268-rates-spark-convergence-or-divergence-ing-think.md) | -0.2% | -2.3% |
| EURUSD | 2024-07-18 | [European Central Bank holds rates, says domestic price pressures high](https://feedsoft.ai/events/29484-european-central-bank-holds-rates-says-domestic-price-pressures-high.md) | -0.7% | +0.8% |
| EURUSD | 2017-11-02 | [Bank Rate increased to 0.50% - November 2017 \| Bank of England – the UK's central bank](https://feedsoft.ai/events/68228-bank-rate-increased-to-0-50-november-2017-bank-of-england-the-uk-s-central-bank.md) | -0.2% | +2.5% |

## Sources

- research-center.amundi.com: https://research-center.amundi.com/article/how-long-can-central-banks-divergence-last

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.