Banks revise EUR/USD forecasts after new low

Abstract

Several top FX banks have revised their forecasts for the euro against the dollar after the single currency touched a 12-year low last week, on the back of the European Central Bank's quantitative easing programme and as strong US data spurred strategists to bring forward the date of the first US rate hike to June. Deutsche Bank has revised down its year-end EUR/USD forecast from 1.05 to 1, and to 0.90 and 0.85 by the end of 2016 and 2017, from 0.95 and 0.90, respectively.