A Bloomberg model supported by desk forecasts and the volatility surface is throwing a 72% probability that the euro will trade in the range of 1.0232 to 1.0582 over the next week
This implies that euro has a strong chance of trading above 1.05 over the short-term.
This does not go in line with the analyst consensus which stands at EUR0.98, the green histogram shows the range of forecasts, with some pencilling euro as low as 0.95
Looking into end of year, the FX forecast model projects a strong chance that the rate will hold above parity
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