What do you think the recent decline in eurusd should considered as? Is it a correction to the uptrend or the beginning of a major downswing? I think the latter and here's why:
- because of a stronger economic recovery and rising real interest rates, the Fed will tighten its policy sooner than the ECB will.
- recent problems concerning the Greek and Spanish public finances as well as Austrian banks point to the fragility of the European banking system.
- To prevent asset bubbles from arising, Asian monetary authorities will tighten their policies, having an indirect downward effect on eurusd.
I am curious what you think about these arguments and whether you agree or not.
- because of a stronger economic recovery and rising real interest rates, the Fed will tighten its policy sooner than the ECB will.
- recent problems concerning the Greek and Spanish public finances as well as Austrian banks point to the fragility of the European banking system.
- To prevent asset bubbles from arising, Asian monetary authorities will tighten their policies, having an indirect downward effect on eurusd.
I am curious what you think about these arguments and whether you agree or not.