23 Dec 2014
EUR/USD sees low volatility due to holidays – GrowthAces
FXStreet (Barcelona) - The GrowthAces Team sees the holiday mood diminishing the volatility in the EUR/USD pair, further expecting the pair to remain congested at current levels.
Key Quotes
“The volatility of the EUR/USD is low and the rate is influenced by holiday mood around the globe. The impact of holidays implies more congestion around current levels, however the medium-term outlook for the rate is bearish.”
“The most important factor driving a weaker EUR/USD is the divergence between U.S. and Eurozone rates. The spread between U.S. and German 2-year bonds has widened strongly since the middle of December that signals rising expectations for interest rates hikes in the USA and the quantitative easing in the Euro zone.”
“Is there any chance of real movement of the EUR/USD today despite markets being in holiday mood? The release of U.S. final GDP and durable goods data is scheduled for 13:30 GMT. The market will be focused mainly on GDP figures. The median forecast is at the level of 4.3% qoq annualized.”
Key Quotes
“The volatility of the EUR/USD is low and the rate is influenced by holiday mood around the globe. The impact of holidays implies more congestion around current levels, however the medium-term outlook for the rate is bearish.”
“The most important factor driving a weaker EUR/USD is the divergence between U.S. and Eurozone rates. The spread between U.S. and German 2-year bonds has widened strongly since the middle of December that signals rising expectations for interest rates hikes in the USA and the quantitative easing in the Euro zone.”
“Is there any chance of real movement of the EUR/USD today despite markets being in holiday mood? The release of U.S. final GDP and durable goods data is scheduled for 13:30 GMT. The market will be focused mainly on GDP figures. The median forecast is at the level of 4.3% qoq annualized.”