I am one of the very few people on this planet who is convinced that the Euro will fall to 0.88 or lower due to the coming crash in Treasuries and everything else.
I see it because I see the Pound dropping below 1.14 and EURGBP crashing to 0.76, and I assume that both moves will happen to a large extent at the same time. I think the moves will happen together because the driving force behind both of them is the the crash in Treasuries: the horrified crowd will sell every yielding asset and will buy Dollars in exchange.
This will push the Euro as low as possible, as a result the Euro should fall faster than the Pound, pulling the latter lower and lower, but EURUSD will have to reach 0.88 or lower (0.85..0.87 is realistic), in order to make the Pound reach its targets.
I see it because I see the Pound dropping below 1.14 and EURGBP crashing to 0.76, and I assume that both moves will happen to a large extent at the same time. I think the moves will happen together because the driving force behind both of them is the the crash in Treasuries: the horrified crowd will sell every yielding asset and will buy Dollars in exchange.
This will push the Euro as low as possible, as a result the Euro should fall faster than the Pound, pulling the latter lower and lower, but EURUSD will have to reach 0.88 or lower (0.85..0.87 is realistic), in order to make the Pound reach its targets.
