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20 Aug 2013
Flash: EUR/USD eyes 1.3400 – Westpac
FXstreet.com (New York) - Global FX Strategist Sean Callow at Westpac outlines the short-term outlook of the EUR/USD.
Key quotes
“Our EUR/USD 1.3400 target remains close but still hard work – Eurozone peripheral sovereigns are trading well e.g. Spain-bunds yield spread is tumbling, while low northern summer volumes lend background support to EUR given the Eurozone’s current account surplus.”
Moreover, “advance Aug PMIs should add to the glimmers of hope from Q2 GDP to keep the ECB on hold in Sep. Still see the next major move as downside, just not yet.”
Key quotes
“Our EUR/USD 1.3400 target remains close but still hard work – Eurozone peripheral sovereigns are trading well e.g. Spain-bunds yield spread is tumbling, while low northern summer volumes lend background support to EUR given the Eurozone’s current account surplus.”
Moreover, “advance Aug PMIs should add to the glimmers of hope from Q2 GDP to keep the ECB on hold in Sep. Still see the next major move as downside, just not yet.”