EUR/USD prolonged its slide towards 1.08 through the Asian buying and selling hours however managed to stage a rebound towards 1.0850. Economists at Commerzbank imagine that the pair might slide beneath 1.08 on renewed tensions in Ukraine.
EUR/USD between escalation and recession fears
“EUR/USD is caught between escalation fears, which weigh on the euro, and recession fears, which may put downward strain on the greenback.”
“Since escalation fears within the Ukraine battle are prevailing once more proper now, that are extra actual and ‘nearer’ in time for the market, the euro is beneath better strain once more.
“If the indicators that there might be a brand new escalation stage actually intensify, it’s fairly potential that EUR/USD slips beneath the 1.08 mark.”