EURUSD hit a low 1.2425 earlier today as concern on Spain increases and as the market prices in an ECB rate cut. A near term short covering, and bounce in the EURUSD can be expected at such levels however the down trend will probably resume.
The forwards market is starting to price in a rate cut by the ECB. Standard Chartered Bank analyst: The rates market has started to price in an ECB cut. Whil…