ECB and Fed on the right track to waken the EUR/USD - UBS

By FXstreet.com | Updated July 30, 2014 AAA

FXStreet (Córdoba) - The UBS analyst team commented that both the Federal Reserve and the European Central Bank policies are contributing to weaken the EUR/USD further in the upcoming months, although the path might be slower than some people expect.



Key Quotes



“The ECB communication certainly cemented the cap on EUR/USD, but was not strong enough to trigger a strong depreciation of the euro. For this, more positive data from the US and a less dovish Fed would be needed”.



“We think both, the Fed and the ECB, are on the right track for EUR/USD to weaken further. However, the path might be slower than some people hope”.



“If the ECB would decide for quantitative easing, that would certainly accelerate the fall in EUR/USD. But so far, Draghi gave no commitment”.



You May Also Like

COMPANIES IN THIS ARTICLE
Related Forex Analysis
  1. Forex News

    Weekly Trading Forecast: FOMC, GDP, Greece and Much More Ahead

  2. Forex News

    Trading Video: Sentiment, Dollar and Euro All At-Risk Next Week

  3. Forex News

    IBM, Google and Others Take an FX Revenue Hit in Q1

  4. Forex News

    Investors are eager to know when the Federal Reserve will act - FXStreet

  5. Forex News

    US data will likely delay Fed action- Rabobank

Trading Center