FXStreet (Guatemala) - Marc Chandler, Global Head of Currency Strategy at Brown Brothers Harriman feels that there is a risk of a near-term bounce for the euro.



Key Quotes



"While we expect the dollar to eventually continue to appreciate, there is a risk of a near-term bounce for the euro if the ECB disappoints (as we expect) those hoping for QE in next week’s meeting. In his Jackson Hole speech, Draghi implied that more action could be in the cards if deflation persisted, but that does not necessarily mean QE, and even if it does, it certainly doesn’t necessarily mean now."



"In fact, we think that an asset purchase program is more likely next year than this one. Still, the possibility of further action (and the risk of disappointment if it does not materialize) has temporarily stalled the dollar’s strengthening trajectory."



You May Also Like

COMPANIES IN THIS ARTICLE
Related Forex Analysis
  1. Forex News

    EUR/USD around 1.1030, EU Summit eyed

  2. Forex News

    FX option expiries for today

  3. Forex News

    Trading Video: Euro Volatility to Intensify, Equities Pause Collapse

  4. Forex News

    EUR/USD Technical Analysis: Key Support Below 1.10 Mark

  5. Forex News

    What are the Traits of Successful Traders?

Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!