Deutsche Bank sees EUR/USD finishing the year at 1.05 now vs 1.00 previously
Yesterday BAML threw in the towel on a year end call for euro parity, today's it's Deutsche Bank.
Their view of a stronger US dollar trajectory remains intact and they believe 1.16 is the top end of the euro range. They see the pair turning lower to 1.05 by the end of the year and 0.90 at the end of 2017.
The way these things tend to go is that EUR/USD will collapse down to parity once all the forecasts have been revised to 1.20.
One forecast they nailed is USD/JPY weakness this year. They had a year-end target of 105.00 but with the market nearly there, they've cut that to 101.00. They say the upside in that pair will be capped by hedging of Japanese foreign portfolios.
