Goldman Sachs favors buying both AUD and NZD against EUR in the coming period. Despite strong domestic fundamentals in Australia, AUD has declined significantly this year against concerns about slowing Chinese economic growth.
This comes at a time when NZD is facing a mixed adverse mood, as well as political tensions and pessimism over the tone of the RBNZ, pushing the currency down since the beginning of the year.
But as China's economy has improved recently and inflationary pressures have begun to increase, the firm's experts expect the currencies to start recovering in the coming period.
On the other hand, as the Euro-Zone's continued political tensions and fears of a weakening of the pace of economic growth, the EUR is expected to decline in the coming period and therefore recommends selling it VS AUD and NZD.
