The euro is having a choppy ride Wednesday — losing most of its early gains midmorning, in the wake of the Greek vote — before rebounding near its highs of the day, to buy $1.4419 vs. $1.4397 after the vote, and $1.4366 late Tuesday. Expectations that Greece would pass austerity measures had helped lift the euro from as low as $1.41 on Monday, putting it at risk of a selloff once those expectations were met, points out Brown Brothers Harriman currency strategist Marc Chandler.
“Support for the euro is seen in the $1.434-50 area now,” he says. While that’s well off the $1.51 levels reached in late 2009, ahead of the first major outbreak of worries about European fiscal debt, it’s still an improvement from its recent drubbing, when it toyed with the $1.40 level in May. — LM
