Economists at Wells Fargo expect the euro to remain under downside pressure. Subsequently, the EUR/USD pair is expected to slide to 0.9600 or even lower.Further downside in the euro.“We still expect further downside in the euro.”
“Given energy supply disruptions, earlier Eurozone recession and a relatively limited monetary tightening cycle from the European Central Bank (ECB), we expect the EUR/USD exchange rate to fall to 0.9600 or lower.”
EUR/USD steadies near parity, looks to post daily gains
EUR/USD has lost its bullish momentum and retreated from session highs during the American session before steadying near parity. The risk-averse market environment is helping the dollar stay resilient and doesn’t allow the pair to gather further bullish momentum.
EUR/USD News
GBP/USD stays in negative territory at around 1.1700
GBP/USD has turned south and declined to the 1.1700 area after having recovered above 1.1740 earlier in the session. The negative shift witnessed in risk sentiment in the second half of the day helps the greenback find demand and limits the pair’s upside.
GBP/USD News
Gold clings to small daily gains near $1,740
Gold has struggled to preserve its bullish momentum and returned to the $1,740 area in the American session on Monday. The 10-year US Treasury bond yield is up nearly 2% on the day near 3.1%, not allowing XAU/USD to stretch higher.
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