EUR/USD: Balance of risks still favour 1.10 in 2Q19 – ING
|According to analysts at ING, there seems to be a little reason to change the near term view that EUR/USD pair stays offered this summer and will test the 1.10, barring a temporary squeeze of short EUR positions.
Key Quotes
“US-China trade tension is unresolved and there is a still a risk that later this month President Trump opts for tariffs on auto imports.”
“Admittedly there are a few green shoots in terms of European growth, but probably not enough to lift Euro area interest rates off the floor. The TLTRO III to be announced by the ECB in June should also cement the view that EUR rates stay lower for longer.”
“A good showing from Salvini’s League in European elections end month also raises the risk of new Italian elections later this year.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.