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31 Oct 2013
Flash: EUR/USD back to 1.37 post FOMC - Danske Bank
FXstreet.com (Athens) - Danske Bank strategists The dollar index gained 0.4% on the FOMC announcement and EUR/USD is back below 1.37 for the first time since Tuesday last week.
Key Quotes
“The key market drivers remain dollar negative but positioning remains the big risk factor and question mark for the currency market.”
“Sentiment has become fairly dollar bearish, at least in the short term, as reflected in option market pricing.”
“Hence, stretched positioning is likely to explain the fairly big market reaction to the FOMC statement and positioning is likely to remain a downside risk factor to the EUR/USD.”
Key Quotes
“The key market drivers remain dollar negative but positioning remains the big risk factor and question mark for the currency market.”
“Sentiment has become fairly dollar bearish, at least in the short term, as reflected in option market pricing.”
“Hence, stretched positioning is likely to explain the fairly big market reaction to the FOMC statement and positioning is likely to remain a downside risk factor to the EUR/USD.”