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A Look at the Condition of Prices that will Absorb the Greek Referendum Results
It is difficult to make much sense of the short-term price action in the foreign exchange market based spurred by this or that headline about Greece. On the week, the euro lost about 0.6% against the dollar but outperformed the other major currencies save the yen. The yen gained nearly 1% against the dollar, the only major currency to do so. Those currencies that under-performed last week had at least one thing in common. Monetary policy is in play. New Zealand, Norway, and Sweden are in easing cycles, with the Riksbank move last week. The unexpected news that the Canadian economy contracted sparked speculation that ... (full story)