Year-to-date, investors have pulled $19.62 million from UUP. The euro is among the major currencies expected to rally against the dollar this year.
“The euro is likely to continue appreciating, in our view. We believe we are in the nascent stages of a global inflation regime shift, transitioning from a world of disinflationary risk to one that is more balanced. We believe the resulting policy changes will support a weaker US dollar and continue to view pullbacks in the euro as consolidation within a longer-term trend higher,” according to Invesco.
Traders considering a bearish position on the dollar can consider the PowerShares DB US Dollar Index Bearish (NYSEArca: UDN), an inverse though not leveraged bet against the greenback.
For more information on the USD, visit our U.S. dollar category.