It's only a matter of time before EUR/USD reverts to the mean. Here's the chart of the difference in the French and German 10 year, which is completely collapsing vs the Euro and remember until last week, the correlation between these two was nearly perfect, implying a reversion to the mean and a very nasty sell-off.
If you want read the whole story, click this link.
Is interest rates about to start going up?
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Yes, I know - it does not make any sense - FED is about to cut
rates...but....real world interest rates are not always what FED wants it
to be.
5 years ago
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