Euro Rises as Sweden Threatens to Join Currency Wars

In case anyone didn’t catch last week’s currency news:

The so-called currency wars progressed further in today’s session, as two new countries jumped on the bandwagon of selling or threatening to sell its own currency to unwind recent strength.

Overnight, RBNZ Governor Wheeler announced that the central bank had already once intervened in Forex markets to bring down the price of the New Zealand Dollar. During European trading hours, Swedish Finance Minister Borg said the Krona’s strength may become an issue for the country’s central bank.

The comments from Sweden brought the Euro above 1.3100 against the US Dollar for the first time today, on speculation that another one of the Euro-zone’s neighbors may take up the Swiss model of buying the Euro with its own currency. EUR/USD may continue to see support near 1.3100 from a rising trend line from March.

Full article: Euro Rises as Sweden Threatens to Join Currency Wars (Daily FX)

Comments are closed.