Fed's Rate-Rise Signals Leave Euro Vulnerable

Dow Jones
2小時前

1240 GMT - The Federal Reserve's decision Wednesday to raise interest rates and signal further tightening leaves the euro at risk of falling further against the dollar in coming weeks, ING analysts say in a note. The euro could fall below $1.14 with risks extending to the $1.132 June lows if oil prices jump again and the Fed lifts rates further as soon as October, they say. However, the Fed is likely to raise rates again in December along with the European Central Bank, which should have a neutral impact on the exchange rate, they say. ING still expects the euro to rise to $1.16 by year-end if oil prices ease and risk sentiment improves. The euro falls 0.1% to $1.1462.

 

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