top of page

🛢💶Euro/Commodity FX Could Extend to Higher Levels: Cable FX Macro

**As seen in Macro Walk report 11/26/2022,

  • The Danish Krona and the Euro are among the best performers in over the last 3 months with them edging over 4% gain against the USD, this is coming off the back of a milder winter helping European gas prices remain stable, similarly more hawkish Central Bank rhetoric in Europe has continued to support these currencies

  • Similarly, the US Dollar has come off its recent highs these last few weeks. While U.S. data has supported lower Fed rate expectations, the dollar reversal has not been uniform

  • The 3-month relative performance chart leaves euro FX as top rankers, the NOK is an outlier here and its weakness could be attributed to the pullback in energy prices. If this dynamic is set to continue, we could see euro/commodity FX breaking higher

  • Pairs to watch: EUR/CAD, EUR/NOK, GBP/AUD, EUR/AUD



bottom of page