A snippet from Danske Bank on their euro forecasts ahead. This from last week but given the time horizons you'll forgive me for posting so late!
Comments from the analysis of EUR/USD, in brief:
- 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
