Economists at Rabobank do see scope for a correction in EUR/USD in the current quarter. But beyond a correction, it would seem unlikely that market sentiment will turn decisively in favour of the USD until real interest rates become more attractive. Key quotes “In view of the uncertainly about the news around COVID-19, the various restrictions, the vaccine roll-out and indeed the degree and effectiveness of any fiscal policy responses, there is every reason to suspect that volatility in EUR/USD could be high in the coming months.” “While we are looking for a pullback in EUR/USD in Q1, the weakness of real interest rates should be sufficient to keep the USD on the back foot through most of the year and we will be looking for any changes of this front before calling for a broad-based, sustained USD recovery.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next S&P 500 Index can reach 4,400 in the most optimistic scenario – BofAML FX Street 11 months Economists at Rabobank do see scope for a correction in EUR/USD in the current quarter. But beyond a correction, it would seem unlikely that market sentiment will turn decisively in favour of the USD until real interest rates become more attractive. Key quotes “In view of the uncertainly about the news around COVID-19, the various restrictions, the vaccine roll-out and indeed the degree and effectiveness of any fiscal policy responses, there is every reason to suspect that volatility in EUR/USD could be high in the coming months.” “While we are looking for a pullback in EUR/USD in Q1, the weakness… Top Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
