Here are the latest forecasts from Morgan Stanley:
- Dollar index seen at 98 by end of 2023 (previous forecast 104)
- EUR/USD seen at 1.15 by end of 2023 (previous forecast 1.08)
- USD/CNY seen at 6.65 by end of 2023 (previous forecast 6.80)
On the change, the firm argued that global growth will be less anemic than expected, with falling inflation also set to weigh on the dollar - resulting in its carry advantage being eroded by higher yields abroad.
