Archived IMT (2009.03.16)

EURUSD enters its longest wining streak since December (when Fed announced zero rates), further supporting the argument of the peak in the US dollar and a more solid foundation for global equities. The fundamental arguments for prolonged EUR gains could emerge from increased signs that ECB rates could bottom at 1.00% (from 1.50%) and from stabilized German borrowing. This sets up EURUSD for $1.3335 as early as this week, with 1.35 likely to act as the high for the month.