Euro Upside Bias Against US Dollar as ECB Repriced – Scotiabank
Scotiabank analysts note the euro is slightly softer against the US dollar but remains supported by a sharp recovery in yield spreads and stronger German industrial data, maintaining an upside bias.
Scotiabank strategists Shaun Osborne and Eric Theoret report that the euro is trading slightly lower against the US dollar, yet the pair retains an upward bias. The weakness is tempered by a notable rebound in yield spreads and improved German industrial figures.
The analysts highlight that the European Central Bank’s repricing has provided a floor for the single currency. The combination of narrowing rate differentials and positive domestic data keeps EUR/USD supported near current levels.
The outlook remains cautiously bullish as long as yield spreads continue to recover and German industrial momentum holds. No specific levels or targets were mentioned in the note.
Source: FXStreet Forex News