US Secretary Says EUR/USD Moves Are Driven by Fundamentals

Treasury Secretary Jack Lew said in a brief on-the-record conversation Monday with CNBC he is watchful for exchange rate movements against the dollar that are the result of obvious interventions and policies by governments aimed at depreciating their currencies against the greenback.

In contrast, he said exchange rate movements that are linked to differences in economic outlooks concern him less. He said recent movements of the euro versus the dollar seem linked more to differences in growth than they do policies aimed at depreciating the euro.

Lew, in recent comments to the IMF, urged countries not to use policy to force their currencies to appreciate, suggesting he had some concern with recent exchange movements.

via CNBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza