31 Mar 2016
Currencies forcasted in respct to weak dollar - ANZ
In respect to a previous entry, "Too early to buck the greenback - ANZ", the analysts at ANZ also explained that the EUR/USD is likely to remain sandwiched between competing forces, implying no imminent return of large or persistent currency moves.
Key Quotes:
"GBP, however, remains trending and friendless. We view 1.35-1.40 as the likely bottom of the range.
The AUD and the NZD have continued to rally at a faster pace than fundamentals suggest and are setting up for another test lower, though a near-term reversion looks unlikely.
In Asia we view recent stability as temporary and continue to look for the weakening trend to reassert.
While CNY has continued to adjust against its basket, we think that further weakness against the USD is still a necessary part of its adjustment."
Key Quotes:
"GBP, however, remains trending and friendless. We view 1.35-1.40 as the likely bottom of the range.
The AUD and the NZD have continued to rally at a faster pace than fundamentals suggest and are setting up for another test lower, though a near-term reversion looks unlikely.
In Asia we view recent stability as temporary and continue to look for the weakening trend to reassert.
While CNY has continued to adjust against its basket, we think that further weakness against the USD is still a necessary part of its adjustment."