24 Oct 2013
Flash: Euro continues to strengthen against USD - BTMU
FXstreet.com (Barcelona) - Lee Hardman, FX Analyst at the Bank of Tokyo Mitsubishi UFJ notes that the euro continues to strengthen against the US dollar rising to a new annual high above the 1.3800-level supported in the near-term by the widening monetary policy divergence between the ECB and Fed.
Key Quotes
“Excess liquidity in the Eurosystem continues to tighten having fallen to around EUR200 billion resulting in euro short rates declining less than in the US.”
“The euro is also deriving support from further evidence of euro-zone economic recovery with the Bank of Spain estimating that the Spanish economy expanded by 0.1% in Q3 for the first time in Q1 2011.”
Key Quotes
“Excess liquidity in the Eurosystem continues to tighten having fallen to around EUR200 billion resulting in euro short rates declining less than in the US.”
“The euro is also deriving support from further evidence of euro-zone economic recovery with the Bank of Spain estimating that the Spanish economy expanded by 0.1% in Q3 for the first time in Q1 2011.”