Analysts believe the EUR\/USD pair is moving to the downside over the next months at a more gradual speed. They have a target of 0.95 in a twelve months perspective.
Fundamentally, the US could continue to be a higher interest rate market and equities continue to appeal to foreign investors. This means the US is likely to attract capital, which helps the USD.
The large negative terms-of-trade shock to Europe vs US, a further cyclical weakening among trading partners, the coordinated tightening of global financial conditions, broadening USD strength and downside risk to the euro area makes us keep our focus on EUR\/USD moving still lower (targeting 0.95); a view not shared by the consensus.
The key risk to shift EUR\/USD towards 1.15 is seeing global inflation pressures fade and industrial production increase.
The upside risk also include a renewed focus on easing Chinese credit policy and a global capex uptick but neither appear to be materializing, at present.<\/p>\n","protected":false},"excerpt":{"rendered":"
Analysts believe the EUR\/USD pair is moving to the downside over the next months at a more gradual speed. They have a target of 0.95 in a twelve months perspective. Fundamentally, the US could continue to be a higher interest rate market and equities continue to appeal to foreign investors. This means the US is …<\/p>\n","protected":false},"author":13,"featured_media":58857,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[37,36],"tags":[6928,8143,9607],"class_list":["post-73254","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-forex-markets","category-market-updates","tag-euro","tag-interest-rate-hikes","tag-parity"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/73254","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/13"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=73254"}],"version-history":[{"count":3,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/73254\/revisions"}],"predecessor-version":[{"id":73262,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/73254\/revisions\/73262"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/58857"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=73254"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=73254"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=73254"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}