US dollar set to stay on bearish course

In May we looked for a EUR/USD move to $1.50 to occur by the end of August. We are keeping the target but changing the timing to the fourth quarter, as we believe three factors will impede the dollar over the remainder of 2009:

1) Over the sweep of history, the dollar tends not to rally on risk aversion. On 55% of occasions since 1998, the euro has risen against the dollar during bouts of risk aversion. The yen, meanwhile, has rallied 70% of the time.

2) The acute dollar strength that we saw

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact customer services - www.fx-markets.com/static/contact-us, or view our subscription options here: https://subscriptions.fx-markets.com/subscribe

You are currently unable to copy this content. Please contact info@fx-markets.com to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to FX Markets? View our subscription options

You need to sign in to use this feature. If you don’t have a FX Markets account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: