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21 May 2015
EUR/USD likely to stabilize around 1.10 next week - Westpac
FXStreet (Mumbai) - Richard Franulovich of Westpac believes that next week's data will underwhelm the recovery of the world's largest economy, pressing the greenback lower, which may keep the EUR/USD pair supported around 1.10 barrier.
Franulovich notes, "In short EUR should stabilize here though we are wrong if $1.10 breaks."
At the same time, the shared currency will stop its previous wave of depreciation sparked by ECB official Benoit Coeure's comments, explains Franulovich.
"[This] seems weak since the ECB will of course buy fewer bonds in summer as well and on balance the pace of purchases will continue to average €60 billion per month."
Franulovich notes, "In short EUR should stabilize here though we are wrong if $1.10 breaks."
At the same time, the shared currency will stop its previous wave of depreciation sparked by ECB official Benoit Coeure's comments, explains Franulovich.
"[This] seems weak since the ECB will of course buy fewer bonds in summer as well and on balance the pace of purchases will continue to average €60 billion per month."