7 Jul 2015
EUR/USD year-end target at 1.05 – BNZ
FXStreet (Barcelona) - Currency Strategists at BNZ raise their year-end forecasts for EUR/USD, now anticipating a year-end move towards 1.05 and 1.03 by mid-2016.
Key Quotes
“We raise our EUR forecasts, in light of recent (relative) stability in the EUR/USD pair. Given the wild price swings in the first part of the year, and cognisant of Greek-related risks, we had envisaged a quick trip back to cycle lows 1.05 once Fed tightening got underway.”
“We still believe that EUR will trade significantly lower, as Fed Funds Rate hikes spur the USD higher and ECB bond-buying keeps German bond yields contained. But we now see a slower descent. We target 1.05 by end-15, and 1.03 by mid-2016.”
Key Quotes
“We raise our EUR forecasts, in light of recent (relative) stability in the EUR/USD pair. Given the wild price swings in the first part of the year, and cognisant of Greek-related risks, we had envisaged a quick trip back to cycle lows 1.05 once Fed tightening got underway.”
“We still believe that EUR will trade significantly lower, as Fed Funds Rate hikes spur the USD higher and ECB bond-buying keeps German bond yields contained. But we now see a slower descent. We target 1.05 by end-15, and 1.03 by mid-2016.”