USD: Focus Returns to Fed. Bullish. With risks from Greece and China diminishing, we believe that the market will once more focus on Fed rate hikes. In Yellen’s latest comments, she reiterated that the central bank remains data-dependent and flexible. With the market still pricing the first hike in six months, we see scope for this to be brought forward if US data come in on the strong side, boosting USD. We expect USD to continue to outperform. EUR: Path Clear for Sell-Off. Bearish. With uncertainty regarding Greece diminished, we believe that investors will feel more comfortable reinitiating EUR shorts, as ... (full story)