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6 Feb 2015
EUR/USD: Factors priced in - FXStreet
FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet explained that the EUR/USD traded in roller-coaster mode this Thursday, lead mostly by the ECB.
Key Quotes:
"Late Wednesday the Central Bank announced with a press release that it will no longer accept Greek bonds as collateral starting February 11, sending the pair to a daily low of 1.1303."
"Later on in the day, the European Commission's winter update of its Economic Forecasts, lifted growth forecasts for the Euro zone to 1.3% this year and 1.9% next. And, contrary to what Tsipras, but also France and Italy are trying to tell the Commission, the countries that did take a bailout and followed the recommendations of the troika are in fact mostly outperforming."
"The EUR/USD recovered back above the 1.1400 level, extending up to 1.1498 in the American afternoon. This latest move was partially attributed to the strong comeback in stocks and the recovery of oil prices."
"But there were also unconfirmed rumors that the SNB has been buying Euros, as the EUR/CHF surged to fresh highs post-SNB latest decision. In the US, data were mixed, with the Trade Balance deficit widening up to $46.56B that sharply trimmed GDP growth prospects, although weekly unemployment claims beat expectations, printing 278K."
Key Quotes:
"Late Wednesday the Central Bank announced with a press release that it will no longer accept Greek bonds as collateral starting February 11, sending the pair to a daily low of 1.1303."
"Later on in the day, the European Commission's winter update of its Economic Forecasts, lifted growth forecasts for the Euro zone to 1.3% this year and 1.9% next. And, contrary to what Tsipras, but also France and Italy are trying to tell the Commission, the countries that did take a bailout and followed the recommendations of the troika are in fact mostly outperforming."
"The EUR/USD recovered back above the 1.1400 level, extending up to 1.1498 in the American afternoon. This latest move was partially attributed to the strong comeback in stocks and the recovery of oil prices."
"But there were also unconfirmed rumors that the SNB has been buying Euros, as the EUR/CHF surged to fresh highs post-SNB latest decision. In the US, data were mixed, with the Trade Balance deficit widening up to $46.56B that sharply trimmed GDP growth prospects, although weekly unemployment claims beat expectations, printing 278K."