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  • Dollar May Rise Versus Euro as U.S. Data Unlikely to Worsen, Barclays Says

29/07/2010

The dollar may advance, after sliding 6.4 percent against the euro this month, as the U.S. economic recovery strengthens, according to Barclays Plc.

“Our economists do not feel the relative underperformance of U.S. economic data will continue,” Raghav Subbarao, a foreign-exchange strategist in London, wrote in a research report today. “The euro area has seen a series of upside surprises recently and we do not expect this trend to continue either. If concerns about global growth resurface then we could see safe-haven flows back into the U.S, leading to dollar appreciation.”

The euro climbed 0.6 percent to $1.3075 as of 9:40 a.m. in London. The dollar is heading for its first loss this month against the 16-nation currency since November. Source -- Bloomberg

 

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