Negative currency outlook has some benefit for euro

October 11, 2013. New York – Financial analysts are increasingly negative on currencies as an investment object in the face of global uncertainty, according to new research from Media Tenor International.

“Currency trades are being presented as more of a risk,” says Racheline Maltese, a researcher at Media Tenor, in the wake of several trends. “In August, there was acute negativity on and visibility for the Indian rupee. That wariness remains, even as focus has shifted to the future of the USD in light of the U.S. government shutdown and the risk of debt default.”

While the U.S. dollar was the most visible currency amongst quoted analyst statements in September and early October, the only winner seemed to be the euro, Media Tenor said.

“A few months ago, everyone was speculating about how much the euro would weaken against the dollar by early-2014. With the uncertain political situation in the U.S., however, the euro has been granted a reprieve,” Maltese says, noting that the U.S. situation is likely to have a negative impact on the rupee and other emerging market currencies.

“Economic weakness in the U.S. creates high risk for many parts of the global economy,” Maltese says. “But for the troubled euro, it suggests areas of stability that have been previously discounted as the global financial crisis has dragged on.”

Hearings on Janet Yellen’s confirmation as the new Fed chair, while expected to go smoothly, may also impact global sentiment towards the U.S. dollar.

For additional information, or to schedule an interview with Media Tenor, please contact Racheline Maltese, 646-263-3731, This email address is being protected from spambots. You need JavaScript enabled to view it..