EUR/USD remains vulnerable amid macroeconomic divergence – NAB

In the view of the analysts at the National Australia Bank (NAB), the euro remains vulnerable against the US dollar amid slow covid vaccine rollout, renewed virus wave, renewed restrictions and the US outpacing Europe.

Key quotes

“The weak point in Europe remains around the vaccine rollout amid the rise in new virus cases and the tightening of restrictions ... which likely means the mooted acceleration in Q2 may have to be pushed back by a quarter.”

“The narrative of the US outperforming Europe in the coming quarter remains.”

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