The chances of verbal intervention from European Central Bank President Mario Draghi against the euro’s appreciation increased after the currency climbed to its strongest level in more than two years versus the dollar, according to foreign-exchange strategists.The currency, which broke above the psychological $1.20 level for the first time since January 2015 on Tuesday, may see some profit taking in the near term, but banks have no doubts its trajectory remains bullish going forward, triggering an unwelcome tightening of financial conditions in the euro region.
Source: Draghi Seen Putting a Lid on Euro as Traders Test Pain Threshold – Bloomberg
Precious Metals Keep Their Feet on the Pedals
Harvey Rains On Positive Crude Inventory Data
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.
Craig Erlam
Latest posts by Craig Erlam (see all)
- Brexit update – GBP steady as May awaits fate - 12/12/2018
- May to face vote of no confidence - 12/12/2018
- Storm clouds gathering over global economy - 12/12/2018