CBX Retail Sourcing Report – Q4 2015

The USD is expected to gain strength as a rate hike approaches in September. Developments in the Greek saga are likely to support higher levels of volatility in the EUR. Chinese policy reforms, including liberalization of the RMB are pressing ahead, which most likely means steady RMB appreciation.

The EUR has recovered moderately against the USD in the past quarter and is holding steady, however the forecast is that with Eurozone deflation, the EUR will head lower.