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19 Sep 2014
Credit Agricole: EUR/USD rising towards 1.28 - eFXnews
FXStreet (Łódź) - The eFXnews team remark that Credit Agricole sees EUR/USD testing the 1.28 level due to widening short-rate spreads.
Key quotes
"In the wake of yesterday’s disappointing TLTRO result (EUR82.6bn versus consensus around EUR125bn), speculation surrounding the ECB’s next possible policy steps will weigh upon EUR."
"Indeed despite this week’s still accommodative Fed tone, widening short-rate spreads should see EUR/USD test 1.28 this week."
"Indeed if the ECB is now more keenly focused upon improving Eurozone export competitiveness their latest steps – while seemingly unsuccessful in term of credit expansion – are indeed having their desired effects upon the EUR NEER."
"To reiterate our view, we looked for around a 5% depreciation by end-Q4."
'This content has been provided under specific arrangement with eFXnews.'
Key quotes
"In the wake of yesterday’s disappointing TLTRO result (EUR82.6bn versus consensus around EUR125bn), speculation surrounding the ECB’s next possible policy steps will weigh upon EUR."
"Indeed despite this week’s still accommodative Fed tone, widening short-rate spreads should see EUR/USD test 1.28 this week."
"Indeed if the ECB is now more keenly focused upon improving Eurozone export competitiveness their latest steps – while seemingly unsuccessful in term of credit expansion – are indeed having their desired effects upon the EUR NEER."
"To reiterate our view, we looked for around a 5% depreciation by end-Q4."
'This content has been provided under specific arrangement with eFXnews.'