Have the correlations broken down?

For months, EUR/USD and the S&P has moved in lockstep. Today, not so much. Has the correlation broken down?

I really doubt it. My guess is there are still some long-term players cutting back short positions from much higher levels. There was also talk of demand for EUR/CAD today, a trade the market is heavily short.

Today’s price action seems like an anomaly today. My guess is if equities pick up steam to the downside, EUR/USD is headed lower once again…