Euro Forecast

Nordea Bank anticipates that the Dollar will maintain its strength against the Euro throughout 2025 due to the economic divergence between the US and the Euro area; however, it says not to bet on parity just yet.

Analysis from Bank of America shows Pound Sterling is on a multi-year journey to levels last seen on the day of the EU referendum.

The Euro to Dollar exchange rate (EUR/USD) has formed a base following the sharp selloff of October and November. But it is too soon to suggest an outright recovery is underway.

The Pound to Euro exchange rate holds a constructive setup ahead of this week's European Central Bank (ECB) decision and UK economic growth report.

Pound Sterling could see ongoing resilience against the Euro in the coming months, but one investment bank says such calls might not be ambitious enough.

The Euro would be looking to extend a recent recovery against the Dollar were it not for USD-supportive tariff threats from President-elect Donald Trump over the weekend. In addition, a crunch moment for France's government makes it difficult for the EUR to justify higher levels.

The Pound to Euro exchange rate (GBP/EUR) is trending higher at the start of the new week and could be on course to retest the 2024 highs in the coming days.

The Euro to Dollar exchange rate (EUR/USD) can fall below parity in 2025, but December can see it recover.

The Euro to Dollar exchange rate is under significant pressure, but could be due to some near-term relief.

GBP/EUR will respect the September-November range during the course of the next five days, with the 21-day moving average having a gravitational effect.

The Euro to Dollar exchange rate (EUR/USD) is hurtling towards parity as the FX market isn't close to fully appreciating the 'Trump Trade'.

One of Germany's largest banks thinks the British Pound is set for another strong year against the Euro. However, a key risk is an economic slowdown following Rachel Reeves' budget.

Shahab Jalinoos at UBS says the regime shift in the U.S. does bode for a strong Dollar, but he says tactical considerations suggest the Euro should end the year higher against the Dollar than at current levels.

According to research from JP Morgan, the Euro could be set to move to parity against the Dollar in the coming quarters.

The British Pound is described as "a diamond in the rough," by Goldman Sachs in their new year-ahead forecast publication, in which a new set of post-election forecast targets suggest solid gains in the coming months.

The Euro to Dollar exchange rate (EUR/USD) looks to be forming a base above 1.05, but stay wary of further declines.

Pound Sterling could lose further value against the Euro in the coming week if UK inflation and PMI data undershoot expectations.

"A bit more juice in sterling," says Kit Juckes, head of FX research at Société Générale.

The Euro to Dollar exchange rate (EUR/USD) could be on course to hit the 1:1 marker, according to an increasing number of analysts. Others say such talk is overblown.

Rewind to this time last week and things were looking up for the Euro to Dollar exchange rate (EUR/USD). Now, we are forecasting further losses in the coming days.