Economists at Nordea see the EUR/USD pair peaking in the first half of the year as the USD yield curve is still alive. The USD curve has more steepening potential, while the potential is very modest in the EUR curve. Key quotes “Usually, long bond yields tend to pick-up when nominal GDP growth is strong, but the USD curve should be (clearly) most sensitive to this storyline. EUR/USD could consequently peak during the first half of this year because of a wider USD-EUR interest rates spread.” “A too strong EUR will turn into a slight headache for European exports, while the US looks ripe for a solid economical comeback meanwhile. We accordingly adjust our forecast to reflect this, and expect a peak in EUR/USD during first half of 2021 around the 1.25-1.27 area before a reversal longer alongside higher spreads between USD and EUR interest rates.” 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 USD/CAD clings to small daily gains, holds above 1.2700 FX Street 2 years Economists at Nordea see the EUR/USD pair peaking in the first half of the year as the USD yield curve is still alive. The USD curve has more steepening potential, while the potential is very modest in the EUR curve. Key quotes “Usually, long bond yields tend to pick-up when nominal GDP growth is strong, but the USD curve should be (clearly) most sensitive to this storyline. EUR/USD could consequently peak during the first half of this year because of a wider USD-EUR interest rates spread.” “A too strong EUR will turn into a slight headache for European exports, while… Regulated 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.
