Intraday Market Thoughts

Latest Euro Moves & Premium Insights

by Ashraf Laidi
Jul 12, 2012 20:29

The core of the EURUSD losses over the past 24 hours has been attributed to something we long warned about -- The realization that Operation Twist from the Fed will not be sufficient in overturning negative market eroding sentiment suffering from the negative macro figures, without the coordinated help of liquidity operations from the ECB and Japan. This was the message from Wednesday's release of the FOMC minutes. Three weeks ago, we anticipated EURUSD to deliver a few more false rebounds before charting a gradual descent on its sub-1.20 path. The pair retested the $1.27 figure only once since its close below $1.25 in late May. Now that EURUSD has hit fresh 2-year lows at $1.2167 and the US dollar index hit new 2-year highs at 83.61, the broadening case for a higher greenback is more apparent. For DIRECT ACCESS to these Premium Insights, click here: Non Subscribers can please click here:


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