1. Hello Guest Do you know binary.com offers exclusive $20 No Deposit Bonus for FX Binary Point visitors? Click here to sign up

Divergence will weigh on EUR for some time - Scotiabank

Discussion in 'Fundamental Analysis' started by FXStreet_Team, Dec 1, 2015.

  1. FXStreet_Team

    FXStreet_Team Well-Known Member Trader

    Joined:
    Oct 7, 2015
    Messages:
    27,524
    Likes Received:
    0
    FXStreet (Guatemala) - Analysts at Scotiabank explained that the IMM data released yesterday showed net spec USD longs extended significantly for a fifth consecutive week to total USD44.6bn—the highest since March when EUR/USD reached a low of 1.0460 or so before bouncing.

    Key Quotes:

    Underlying the USD’s slippage is perhaps a growing concern among investors that the ECB is priced in now, as is the Fed more or less. We are less sure than the USD is near a peak and note that short‐term EUR/USD implied vols continue to push higher (1 week has gained another vol or so), suggesting that there is still a fair bit of uncertainty in the markets.

    Diverging monetary policy will remain a restraint on a large EUR rebound for some time yet."
    For more information, read our latest forex news.
     

Share This Page