Analysts at TD Securities explained what they are watching from here on.
Key Quotes:
“The case for a sharp appreciation in EUR/USD this year has diminished greatly with the ECB putting off its next major decision until well into 2019. A still-large overhang of stale EUR longs could add to selling pressure near-term, but we think EUR/USD should find a floor. We think this could become more of a range trade for the foreseeable future as the USD’s upside from this week’s Fed decision looks relatively short-lived.”
“Treasuries rallied alongside the bunds as the market reacted to ECB forward guidance rather than the tapering of QE. With little to watch ahead of the weekend, we look for 5s30s to continue grinding flatter as price action is likely to be quiet.”
Share
