Gavekal Capital: Euro Falls to Lowest Level Since August 2012

Thursday, November 6, 2014

Euro Falls to Lowest Level Since August 2012

Circling back to a topic we have addressed previously (here and here), today's plunge in the EUR/USD exchange rate puts it back on track towards syncing up with the interest rate differential between corresponding spreads:

Having narrowed the gap that developed late last year, how much further might the euro fall?

About Gavekal Capital

Gavekal Capital is a US registered investment advisory firm that manages the Gavekal Knowledge Leaders Strategy. Knowledge Leaders are a group of the world’s leading innovators with deep reservoirs of intangible capital. These companies often possess competitive advantages such as strong brand, proprietary knowledge or a unique distribution mechanism. Knowledge Leaders are largely service-based and advanced manufacturing businesses, often operating globally. Gavekal Capital seeks to identify the world’s leading knowledge companies through a proprietary process that analyzes corporate knowledge investments.
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