24 Jul 2013
Flash: Life in Europe - Societe Generale
FXstreet.com (London) - Sebastien Galy for Societe Generale noted performances of European data and associated currency risks.
Key Quotes:
“European PMIs showed some first signs of life as some of the extreme pain from higher yields and extreme fiscal tightening peaked. It is a sad reality that this pushes the EUR higher to tighten further monetary conditions”.
“More importantly the EUR/CHF is starting to edge in the direction of the upper side of its range. The process of reallocation by Swiss Portfolio managers out of the CHF back in EM and now EUR, USD may well have slowly started”.
“The CHF like the NOK remains extremely expensive and supported by past repatriation and safe haven flows”.
Key Quotes:
“European PMIs showed some first signs of life as some of the extreme pain from higher yields and extreme fiscal tightening peaked. It is a sad reality that this pushes the EUR higher to tighten further monetary conditions”.
“More importantly the EUR/CHF is starting to edge in the direction of the upper side of its range. The process of reallocation by Swiss Portfolio managers out of the CHF back in EM and now EUR, USD may well have slowly started”.
“The CHF like the NOK remains extremely expensive and supported by past repatriation and safe haven flows”.