Economists at Rabobank discuss EUR and USD outlook. The EUR/USD pair is seen below the 1.06 mark by June.
Moderately softer USD into year-end
“The hawkish rhetoric of the ECB may struggle to coax the EUR significantly higher particularly given the recent buoyancy of the greenback.”
“We expect the ‘higher for longer’ rate view to keep the USD well supported.”
“We see scope for dips below the EUR/USD 1.06 level into the middle of the year.”
“We expect a moderately softer USD into year-end, though this assumes that Fed funds will have peaked by then.”
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