Euro to Dollar Forecast: 1.0541 in Three Months

The Euro to Dollar rate has turned from five year lows and could now attempt to recover further if the U.S. Dollar continues a nascent consolidation and the Renminbi remains on a firmer footing, although many analysts are apprehensive about Eurozone economic figures due out in the week ahead.

Danske Bank are the latest major financial institution to predict the Euro to Dollar exchange rate will fall to parity.

EUR/USD on course for 20 year lows says JP Morgan, as conditions remain ripe for USD appreciation and ECB rate hikes to offer scant support for EUR.

The Euro to Dollar exchange rate slipped to a fresh five year low last week but could attempt a corrective rebound in the days ahead if global markets find reasons for cheer in signs that China's most stringent 'lockdown' thus far may be nearing its end. 

"EUR/USD is close to the 1.0340 key support, below which would see the prospect of parity become quite material" - ING.

The Euro-to-Dollar rate has fallen close to its coronavirus crisis lows, leading to forecast downgrades and prompting Nomura to target a further slide to parity, although the latest projections from Rabobank and Credit Suisse suggest it could be likely to bottom out around 1.03  in the months ahead.

Peak Dollar strength has passed and the Euro will show bullish traits in the medium-term shows new research from French banking giant BNP Paribas.

The Euro to Dollar exchange rate has been unable to escape from near the bottom of its recent trough and entered the new week at risk of further losses that could see the single currency slipping toward some of its lowest levels since the opening half of 2017 over the coming days.

"For us, the fact that the USD has risen into the rarified levels seen in Mar 2020 is not in of itself a reason to fade it" - Credit Suisse.

The Euro to Dollar exchange rate entered the new week close to five-year lows following a dire April month but could attempt a corrective rebound in the days ahead if the Federal Reserve (Fed) kicks a quantitative tightening, or QT, can down the road into the summer months. 

The Euro can avoid a fall to parity against the Dollar, although the odds of this are decreasing say analysts.

The Euro to Dollar exchange rate was set for its largest one month decline since March 2015 on Friday following another week of precipitous losses and research from Barclays suggests it’s the risks to European energy supplies that have left the single currency at “very cheap” levels.

Russia is moving into the sphere of energy wars, and this can only weigh further on the Euro says investment bank MUFG.

The Euro to Dollar exchange rate's decline could see it approach, or achieve 1:1, say two analysts we follow.

Foreign exchange strategists at DNB Markets say the Euro's foray below the 1.08 USD marker won't last long and they expect a steady recovery into year end.

The Euro could fall to par the Dollar, or rise back to 1.15 says Italian lender UniCredit who see one of two scenarios playing out over coming weeks.

New research finds the Dollar rally has some significant upside to come, suggesting EUR/USD is not done falling.

The Euro to Dollar exchange rate entered a holiday-shortened week close to its 2020 lows but could now find itself better supported if the People’s Bank of China (PBoC) comes to the aid of the European single currency in a bid to stymie further unwanted strength in the trade-weighted Renminbi.

EUR/USD corrective rebound may extend short-term, but multiple resistances obstructing path above 1.11.

EUR/USD steadier & finding feet above 1.0800, calmer global markets supportive of EUR/USD.