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11 Nov 2014
Euro lacking guidance - SG
Kit Juckes, Global Head of Currency Research at Societe Generale the euro lacking guidance, though not lacking a trend.
Key Quotes
“The only UK data for the day is already out, BRC like-for-like sales flat on a y/y basis. That's less bad than feared, but the pound awaits tomorrow's labour market data and Inflation Report for direction.”
“The euro too, is lacking guidance, though not lacking a trend. To say the lack of a meaningful short-covering rally is a surprise given the scale of negative sentiment and the market's positioning is unfair because puny bounces are the defining characteristic of this fall. ‘Sell rallies' is a hopeless recommendation and we are short EUR/USD.”
“We're not short of EUR/CHF however, where resistance to the SNB's peg breaking seems likely to persist. And finally, as for the US NFIB it should be ‘OK', up to 96.1.”
Key Quotes
“The only UK data for the day is already out, BRC like-for-like sales flat on a y/y basis. That's less bad than feared, but the pound awaits tomorrow's labour market data and Inflation Report for direction.”
“The euro too, is lacking guidance, though not lacking a trend. To say the lack of a meaningful short-covering rally is a surprise given the scale of negative sentiment and the market's positioning is unfair because puny bounces are the defining characteristic of this fall. ‘Sell rallies' is a hopeless recommendation and we are short EUR/USD.”
“We're not short of EUR/CHF however, where resistance to the SNB's peg breaking seems likely to persist. And finally, as for the US NFIB it should be ‘OK', up to 96.1.”