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Euro ETF Reverses, Turns Positive; Does This Rally Have Legs?
By Devon Layne | December 30, 2011

Related ETFs: FXE

The euro is beginning to show signs of recovery as reflected by positive movements in the CurrencyShares Euro ETF (NYSEArca: FXE). However, analysts reckon it’s too early for a long-term rally, according to an article on Barron’s.

The euro had the worst performance among 10 developed-nation currencies, the article said, citing Bloomberg Correlation-Weighted Currency Indexes.

According to the article, the euro is close to reaching oversold levels. Factors like slowing EU loan growth and poor Italian debt auctions can’t support the euro above or near $1.30, the article said.

For more information, head over to Barrons.com.