Select Language

EUR/USD set to rise to 1.12 by year-end - UBS

Breaking news

EUR/USD set to rise to 1.12 by year-end - UBS

  • twitter
  • facebook
  • LINE
  • RSS

  • twitter
  • facebook
  • LINE
  • RSS
New update 2023.09.19 23:42
EUR/USD set to rise to 1.12 by year-end - UBS

update 2023.09.19 23:42

EUR/USD dropped despite the ECB’s decision to hike. Economists at UBS discuss the pair’s outlook.

Euro likely to rebound after dovish ECB message

The ECB hiked rates to a record high of 4% last week, its 10th consecutive increase. The decision was accompanied by an increase in the central bank’s inflation projections, which are now expected to average 5.6% this year and 3.2% in 2024-still well above the 2% target.

We remain most preferred on the Euro and least preferred on the US Dollar. The ECB’s move narrows the rate premium offered by the US, and we don’t expect rate cuts from the Eurozone’s central bank until at least June next year. An acceleration of quantitative tightening, with the ECB increasing the pace at which it shrinks its balance sheet, is also possible early next year.

We expect EUR/USD to rise to 1.12 by the end of the year.


Date

Created

 : 2023.09.19

Update

Last updated

 : 2023.09.19

Related articles


Show more

Writer

FXStreet

Financial media

arrow
FXStreet

FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.

Was this article helpful?

We hope you find this article useful. Any comments or suggestions will be greatly appreciated.  
We are also looking for writers with extensive experience in forex and crypto to join us.

please contact us at [email protected].

Thank you for your feedback.
Thank you for your feedback.

Most viewed

GBP/USD defends the 100-day SMA ,further downside on the horizon

The GBP/USD lost ground but managed to clear losses after finding support at a daily low of 1.2615, near the 100-day Simple Moving Average (SMA) and t
update2023.08.24 05:45

USD/CHF Price Analysis: Within a narrow range, hovers around the 0.8750s area

USD/CHF has been trading within a narrow range of 0.8765 to 0.8830 for the past eight days, following a break of the 0.8600 figure. At the time of wri
update2023.08.24 06:23

Gold Price Forecast: XAU/USD closed above the 200-day SMA rising to a two-week high

In Tuesday's session, the XAU/USD Gold spot price found demand as the leading world economies showed weak economic activity figures, which fueled a de
update2023.08.24 06:39

AUD/USD bulls approach 0.6500 amid downbeat yields, risk-on mood, focus on US Durable Goods Orders

AUD/USD buyers take a breather while making rounds to 0.6480, after rising the most in three weeks the previous day. In doing so, the Aussie pair port
update2023.08.24 07:16

USD/CAD slumps as CAD gains traction; US economic slowdown in focus

The Canadian Dollar (CAD) recovered some ground against the American Dollar (USD), as seen by the USD/CAD pair, finishing Wednesday's session with los
update2023.08.24 07:34

Japan Exchange Group CEO Yamaji flags economic side effects of "too weak Yen"

Hiromi Yamaji, Chief Executive Officer of Japan Exchange Group Inc. criticized the weaker Yen while citing the receding benefits of the softer currenc
update2023.08.24 07:39

NZD/USD consolidates its recent gains above 0.5970 ahead of Jackson Hole Symposium

The NZD/USD pair consolidates its recent gain below the 0.6000 mark during the early Asian session on Thursday. The weakening of the US dollar is driv
update2023.08.24 07:45

EUR/USD rebounds from 10-week low beneath 1.0900 on Fed, ECB policy pivot concerns, US data, yields eyed

EUR/USD makes rounds to 1.0860-65 during the early hours of Thursday's Asian session as bulls take a breather after posting a stellar rebound from the
update2023.08.24 07:52

USD/JPY Price Analysis: Stumbles below 145.00 amid falling US bond yields as the pair turns bearish

USD/JPY retraced its earlier weekly gains, as the pair printed losses of 0.72% on Wednesday, courtesy of falling US bond yields, as US economic data w
update2023.08.24 07:59

GBP/USD Price Analysis: Multiple hurdles, US data prod Cable buyers above 1.2700

GBP/USD stays defensive around 1.2715-20 during the early hours of Thursday's Asian session, fading the previous day's rebound from the lowest level i
update2023.08.24 08:19

Disclaimer:arw

All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.

The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.

  • Facebook
  • Twitter
  • LINE

Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy

I agree
share
Share
Cancel