Another set of EUR/USD forecasts from Goldman Sachs
This from Friday:
- We ... update our forecast to 1.02, 1.00 and 0.95 in 3, 6 and 12 months (from 1.12, 1.10 and 1.08 previously)
- 0.85 and 0.80 at end 2016 and end 2017 (from 1.00 and 0.90), respectively
- We therefore expect more downside in the near term, with the expected removal of "patient" at next week's FOMC a key catalyst
- In the longer term, we continue to believe that EUR/$US will significantly undershoot our GSDEER measure of fair value (around 1.20), reflecting diverging growth and monetary policy outlooks
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Meanwhile, some EUR/USD buying in Asia today taking us back above 1.0520: