EUR/USD still in 1.0350/1.0750 range – Danske Bank

Pernille Henneberg, Senior Analyst at Danske Bank, expects the pair to keep navigating the 1.0350/1.0750 range.

Key Quotes

“EUR/USD moved temporarily higher on Friday, as Q4 GDP figures came in lower than expected. But market sentiment quickly turned due to expectations that US President Trump would deliver on his campaign promise to put policies in place to further strengthen the economy and the cross closed at 1.0694”.

“Supported by relative rates and growth, we still see EUR/USD in the range of 1.0350-1.0750 near term, targeting the cross at 1.05 in 3M”.

“Over the coming one to three months, we expect the USD to strengthen in line with the receipt of more detail on the new US government’s fiscal stimulus plans and other tax measures”.