EUR/USD Rallies A Sell Regardless Of Greece Headlines - Credit Agricole

Risk sentiment has been broadly stable, regardless of EU Finance Ministers not agreeing on a common approach when it comes to Greece. According to Eurogroup Chairman Dijsselbloem not enough progress was made in order to come to joint conclusions.

However, after several officials including German Finance Minister Schaeuble already indicated that no deal was imminent and as expectations of an agreement to be ultimately reached remain intact, market impact was limited.

Now the focus turns to today’s EU summit and ongoing discussions next week.

We remain of the view that EUR/USD rallies should be sold, regardless of conditions in Greece as strongly capped ECB monetary policy expectations should ultimately make a case of the pair breaking lower