FXStreet (Guatemala) – Valeria Bednarik, chief analyst at FXStreet explained that the EUR/USD pair staged a massive comeback this Monday, surging up to 1.1276 intraday, after trading as low as 1.0954 during the early Asian hours.
Key Quotes:
“The recovery of the common currency began during European hours, as the SNB was active in the markets, with governor Jordan explicitly saying that they were intervening to prevent CHF strength.”
“But the rally extended beyond the wildest estimation during the American afternoon, with no actual catalyst beyond it, and despite Greece will not pay the €1.6 billion due to the IMF on Tuesday, entering in default.”
“Also, hopes that a deal is still possible are supporting some EUR demand after Dijsselbloem said that the door for negotiations is still open. Junker addressed directly to the people of Greece, asking them to vote “yes” and therefore, vote for the EUR.”
(Market News Provided by FXstreet)