EUR/USD: The downside risk is likely to dominate – Commerzbank EURUSD Inflation Banks RussianFederation ECB
could provide a mild tailwind for the Euro. Nevertheless, the lower end is likely to remain the weaker one for now, economists at Commerzbank report.representatives have sounded restrictive recently, a high inflation result today might push the rate expectations for the Eurozone upwards a little again, with this providing short-term support for the Euro. However, yesterday’s PMIs for the EZ illustrated that storm clouds are gathering for the manufacturing sector.
“And there is another factor that could put a spoke in the Euro's wheel: increasing tensions between the US and Russia following Russia's announcement of the suspension of the nuclear disarmament treaty. At least one eye should probably be kept on the developments in this matter.”Information on these pages contains forward-looking statements that involve risks and uncertainties.
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