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31 Dec 2014
Outlook for 2015: Stronger EUR/USD – GrowthAces
FXStreet (Barcelona) - The Growth Aces Research Team forecast EUR/USD to see above 1.30 levels in Q4 2015, with EUR strength aided by a recovering eurozone economy and the current account surplus.
Key Quotes
“The USD ends 2014 with a gain of more than 12% against a basket of major currencies. It was the largest gain of the USD since 2005.”
“As expectations strengthen that the European Central Bank will ease monetary policy more aggressively, some economists predict the EUR could even slide to parity with the USD by the end of 2015. Forecasts of GrowthAces.com have an opposite direction.”
“The contrast between the U.S. Federal Reserve's path toward rises in interest rates next year and stimulative monetary policy in the euro zone was the main factor supporting the EUR/USD fall in 2014. All these factors are already priced in the EUR/USD rate.”
“In our opinion the divergence in monetary policies will play an important role still in the first quarter 2015, but then the EUR is likely to appreciate against the USD and other major currencies.”
“We should note that a slowdown in China's economy could undermine the U.S. economic recovery and weigh on the USD. Moreover, further strong gains of the USD may help dissuade the Fed from raising rates.”
“On the other hand, the EUR would remain fundamentally strong, helped by the Euro zone's current account surplus and recovering economy.”
Key Quotes
“The USD ends 2014 with a gain of more than 12% against a basket of major currencies. It was the largest gain of the USD since 2005.”
“As expectations strengthen that the European Central Bank will ease monetary policy more aggressively, some economists predict the EUR could even slide to parity with the USD by the end of 2015. Forecasts of GrowthAces.com have an opposite direction.”
“The contrast between the U.S. Federal Reserve's path toward rises in interest rates next year and stimulative monetary policy in the euro zone was the main factor supporting the EUR/USD fall in 2014. All these factors are already priced in the EUR/USD rate.”
“In our opinion the divergence in monetary policies will play an important role still in the first quarter 2015, but then the EUR is likely to appreciate against the USD and other major currencies.”
“We should note that a slowdown in China's economy could undermine the U.S. economic recovery and weigh on the USD. Moreover, further strong gains of the USD may help dissuade the Fed from raising rates.”
“On the other hand, the EUR would remain fundamentally strong, helped by the Euro zone's current account surplus and recovering economy.”