Potential cushions for the greenback - BBH

By FXstreet.com | Updated August 04, 2014 AAA

FXStreet (Guatemala) - Marc Chandler, Global Head of Currency Strategy at Brown Brothers Harriman commented around the recent shift in greenback.



Key Quotes



"Another way of asking the question is whether the markets are in new trends or poised to consolidate. Our reading of the technicals favors the latter scenario."



"The US economy and inflation are not consistent with 10-year yields below 2.5%. As yields fall below there, buying dries up and shorts are enticed."



"This caps the rallies. The prospects for the ECB's TLTRO next month and the possibility that Japan provides more stimulus may cushion any significant dollar pullback."



Related Forex Analysis
  1. EUR/USD may move higher if it holds above 1.2505 - AceTrader
    Forex News

    EUR/USD may move higher if it holds above 1.2505 - AceTrader

  2. EUR/USD drops to lows at 1.2540
    Forex News

    EUR/USD drops to lows at 1.2540

  3. Lookout for Draghi’s speech - OCBC Bank
    Forex News

    Lookout for Draghi’s speech - OCBC Bank

  4. Dollar Draws Limited Reassurance from CPI Uptick, Fed Surveys
    Forex News

    Dollar Draws Limited Reassurance from CPI Uptick, Fed Surveys

  5. Yen Gains as Asian Stocks Decline, Euro Eyes Draghi Commentary
    Forex News

    Yen Gains as Asian Stocks Decline, Euro Eyes Draghi Commentary

Trading Center