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13 Feb 2014
Flash: EUR/USD now to remain stable? - BTMU
FXStreet (Guatemala) - FX Strategists at the Bank of Tokyo Mitsubishi UFJ said
"We continue to expect the euro to remain relatively stable against the US dollar in the week ahead. The euro has derived support from the ECB’s decision not to ease monetary policy further earlier in February."
Key Quotes:
"However, ECB executive board member Couere has sated over the past week that the ECB is “seriously considering” lowering the deposit rate into negative territory reinforcing investor expectations that the ECB will still likely ease monetary policy further at their next meeting on the 6th March. Building ECB monetary easing expectations should help to dampen further euro upside in the near-term."
"The euro is also deriving support from the strengthening economic growth outlook in the euro-zone which should be supported further in the week ahead by the release of the latest PMI surveys for February. The US dollar is trading on a modestly softer footing in the near-term in part reflecting the slowdown in US economic growth in early 2014 following very robust growth in the second half of 2013. But QE tapering should offer US dollar support."
"We continue to expect the euro to remain relatively stable against the US dollar in the week ahead. The euro has derived support from the ECB’s decision not to ease monetary policy further earlier in February."
Key Quotes:
"However, ECB executive board member Couere has sated over the past week that the ECB is “seriously considering” lowering the deposit rate into negative territory reinforcing investor expectations that the ECB will still likely ease monetary policy further at their next meeting on the 6th March. Building ECB monetary easing expectations should help to dampen further euro upside in the near-term."
"The euro is also deriving support from the strengthening economic growth outlook in the euro-zone which should be supported further in the week ahead by the release of the latest PMI surveys for February. The US dollar is trading on a modestly softer footing in the near-term in part reflecting the slowdown in US economic growth in early 2014 following very robust growth in the second half of 2013. But QE tapering should offer US dollar support."