Energy shock severely hits Eurozone trade conditions Analysts warn of downward pressure on exchange rates

Chris Turner of the Dutch international group stated that, due to investors' positioning, the Euro appears particularly vulnerable in the face of rising energy prices caused by the US-Iran conflict. He pointed out that there are currently many long positions on the Euro in the market, especially among asset management companies. As these positions are trimmed and market concerns about the impact of rising energy prices on trade conditions in the Eurozone continue, the Euro exchange rate has suffered. Turner believes that changes in trade conditions will be a more central theme, and the duration of this energy shock will determine whether the Euro will fall to the 1.10-1.12 range or find support near 1.15.