**As seen in Macro Walk report 07/02/23, subscribe at cablefxm.co.uk/reports
The latest Macro Walk report showed the Citi Economic Surprise Index for Europe dipping to levels not seen since the pandemic crisis
Economic surprises had been throwing positive readings for most of this year, the development followed a sharp decline as the Ukraine invasion brought high commodity prices and supply chain constraints
European CESI is now below the 2022 summer levels, this has led to a differential of -210 vs the U.S. equivalent. However, the EUR/USD is detached from growth as the spot holds near 1.09. A continuation of U.S. economic outperformance could take the EUR/USD pair to a 1.050-1.025 range
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