13 Feb 2015
EUR/USD neutral bias into the week ahead – BTMU
FXStreet (Barcelona) - The Research Team at Bank of Tokyo-Mitsubishi UFJ, shares the weekly outlook for EUR/USD, and explains that the pair will remain broadly stable in the week ahead.
Key Quotes
“The focus in the week ahead is likely to remain on Greece with the talks this week not reaching a conclusion and set to extend into next week.”
“A Greek government official confirmed that it continues to seek a “bridge-financing” agreement with the government maintaining that it will not seek another tranche of funds under the current bailout agreement. Financing from ECB profits, additional T-bill sales and excess funds from the bank recapitalization funds could all be tapped to finance a bridge deal.”
“Further talks are expected with a conclusion set for 16th February. We’re not sure we’ll get a definite conclusion by next Monday but for sure Greece will remain in focus.”
“The key event for EUR/USD outside of the euro-zone will be the semi-annual testimony to Congress by Fed Chair Yellen – but that comes the following week – on 24th/25th February.”
“With no major dollar specific events before then, we are inclined to think that the EUR/USD rate will remain broadly stable.”
“While Greece might be a negative factor, we don’t see next week as necessarily being a deadline that could spark selling – hence we maintain our recent neutral bias.”
“EUR/USD – neutral bias – (1.1200-1.1600)”
Key Quotes
“The focus in the week ahead is likely to remain on Greece with the talks this week not reaching a conclusion and set to extend into next week.”
“A Greek government official confirmed that it continues to seek a “bridge-financing” agreement with the government maintaining that it will not seek another tranche of funds under the current bailout agreement. Financing from ECB profits, additional T-bill sales and excess funds from the bank recapitalization funds could all be tapped to finance a bridge deal.”
“Further talks are expected with a conclusion set for 16th February. We’re not sure we’ll get a definite conclusion by next Monday but for sure Greece will remain in focus.”
“The key event for EUR/USD outside of the euro-zone will be the semi-annual testimony to Congress by Fed Chair Yellen – but that comes the following week – on 24th/25th February.”
“With no major dollar specific events before then, we are inclined to think that the EUR/USD rate will remain broadly stable.”
“While Greece might be a negative factor, we don’t see next week as necessarily being a deadline that could spark selling – hence we maintain our recent neutral bias.”
“EUR/USD – neutral bias – (1.1200-1.1600)”