EUR/USD faces potential downside risks near term – Danske Bank

Chief Analyst at Danske Bank Allan von Mehren believes the pair could be under renewed downside pressure on the upcoming testimony by Chief J.Powell.

Key Quotes

“Focus in USD crosses today will be on Powell’s testimony to the House Committee where we will look for clues as to whether the new Fed Chair brings a more hawkish stance with him following the latest US reflationary pressure”.

“While it is not our base case that Powell is a game changer for Fed policy, risks are for some EUR/USD downside this week”.