Forex Flash: EURUSD will head much lower over the next year - Saxo Bank

FXstreet.com (Barcelona) - Even with Draghi's ECB new round of "conditionality-based QE" promises, the Euro still faces enormous challenges, says John J Hardy, Head of FX Strategy Saxo Bank; "Despite the impressive rally, that statement remains to be proven in the long run and the periphery still must devalue or Germany must accept inflation if the Euro is to stay together" Mr. Hardy notes. The Analyst expects social unrest "to continue washing over the entire periphery if politicians continue to insist on the bailout-in-exchange-for-austerity model" he believes, betting for a much lower EURUSD through the course of 2013.