They’re back! The BIS bought EUR/USD on the Spain-inspired dip, around the 1.4700 level. EUR/USD has bounced to 1.4725. Offers should come in around 1.4730 near-term. More are eyed toward 1.4780.
The BIS bought earlier in the 1.4730s and Mid-East accounts were active in the 1.4740/50s area.
Just crossing the wires, Moody’s has put the UAE and Abu Dhabi government -related issuers on review for a downgrade. Look for more risk aversion as credit remains top-of-mind. That is dollar-positive, if history is any help.
