EUR/USD: The decline should continue in the short term (Barclays)

Barclays believes that risk reduction by investors should continue to weigh on the EUR/USD.

"Investors seem very focused on the currencies of countries with robust growth including the euro currency (whose purchases were financed by safe haven currencies). The fall of US stock markets has probably forced some investors to buy back the dollar to hedge their positions. On the other hand, German political risk remains.

This week, the ECB governors will probably not reveal information about the upcoming monetary policy. On the calendar side, we expect 0.7% quarter-on-quarter growth in Germany", says Barclays.