EUR/USD had a zippy little rally as the reflation trade sparked back into flame this afternoon but EUR/USD was unable to overcome the 1.4150 level on its latest push We’ve drifted back to the high 1.4130s on profit-taking.
Look for more 1.41/1.4150 overnight as the market awaits earnings from two of the more vulnerable banks, Citi and BofA. Goldman and JPM hit the ball out of the park last quarter. It remains to be seen if the two banks with the heaviest government involvement will be able to follow suit.