The overwhelming bias against the euro currently in financial markets may be a sign that the currency is about to rally, Goldman Sachs Group Inc. Chief Global Economist Jim O’Neill
said. Only three of 600 people he spoke to recently predicted the currency would strengthen, he said.
“In my experience of being in the foreign-exchange market for 29 years, that makes it virtually guaranteed that the euro isn’t going to go down much further,” O’Neill said in a Bloomberg interview from his London office yesterday. He predicts the euro, currently around $1.2375, may fall to as low as $1.20.
May 17, 2010 20:37 EDT
Euro Won?t Be Choked by Austerity Drive, EU Says (Update1) - Bloomberg.com