Previously, higher yields on U.S. government debt, compared to German bunds, attracted more European investment interest. Consequently, as Europeans invest in U.S. dollar-denominated assets, the investors have been selling euros for U.S. dollars.
“The currencies of China, Canada and Mexico are poised to weaken versus the dollar next year, as forecast by strategists surveyed by Bloomberg. An economic slowdown in China and dwindling demand for commodities worldwide will propel the greenback higher, Axa said,” reports Bloomberg.
CurrencyShares Euro Currency Trust
