FXStreet (Córdoba) - The UBS analyst team noted that Yellen's testimony confirms a positive perspective for the USD and thus a negative path for the EUR/USD.
“Janet Yellen's testimony at the Congress led to a sharp intraday drop of EUR/USD, well below 1.36”.
“Her promise that rate hikes could come earlier than currently forecasted if labor market improves quicker than expected excited markets on Tuesday”.
“We are not sure that this is the final breakthrough, but at least it shows that the Fed and the market are thinking in the same direction as we do, i.e. a strengthening of the greenback”.