Analyst: If the German fiscal plan fails to meet expectations, the euro faces the risk of depreciation.

On March 18th, Jinshi data, analysts at Monex Europe said in a report that there is a risk of the euro falling if the fiscal spending plan proposed by Germany's prime minister candidate Merz takes time to impact the economy. They said that the German Bundestag may approve the plan in a vote on Tuesday, but market optimism about the euro's value against the dollar is already close to its peak. They said that if the short-term economic rise brought by the fiscal plan ultimately disappoints, the euro will face the risk of decline. German bond yields have already risen significantly, making economic activity data 'likely to disappoint, especially in the short term'.