The situation in the options market indicates that hedge or risk management funds are expecting a further strengthening of the euro and its ratio with the dollar in the news, Bloomberg reports.
Risk management funds in Europe and the United States on Thursday on the common value of the value of the option market, when it was the strongest dollar cover since November 2022 .
Bloomberg notes that the 1.2 percent week week week week week was the second largest decline in the G10 currency. There is a possible further depreciation if the prospects for euro zone economic growth are and further bad.
“The balance of risks indicates a weakening of the euro, particularly when the barrier to the option which has value of less than 1,03, is formed.The growth pressure of the euro zone is increasing, so it is likely that the Euro central bank can be forced to reduce interest rates more, to incentivise growth” – said Oversea-Chinese Banking Corp. strategy Christopher Wong.
Bloomberg Specialists believe that “the path of the downside of the USD is becoming more clear because the positions of the big positions supports the dynamicsoftheuncertainmarketsandor”.
Rabobank,WellsFargoandInvesteccurrencymarketengineersmeasurethepossibilityofachievingeuroanddollarpriorityinthesecondquarter.
Todaywe havereachedtheeurobounceagainsttheAmericandollar.Ourcurrencyisfadingaboveonepercentto1.04217dollars.