Quote:
Originally Posted by Lava
What does this mean for the Euro- plummeting on the news. Support for the US$?
Original way of providing support- maybe the US has had enough of the falling $.
Antone know what this means- I have never come across something like this: Appears they have created a tunnel of liquidity between Europe and US so more Euros travelling to the US- 28 billion $s. Not much to move the FX market but enough to get one thinking that the Euro train is limited and may be capping ST around here.
|
Liquidity should help stabalizing the market in general. Which in turn should help the dollar. So its dollar supportive, rather than Euro negative. It also shows G-10 wont just sit on their hands, but do something about the current crisis. Maybe people are scared about forex intervention too.
We briefly touched support at 1.5330 a minute ago. Maybe some rebound first towards high 1.53's. When the dust settles we'll see how this works out longer term.
Good luck.
