FXStreet (Edinburgh) – Senior Analyst Morten Helt at Danske Bank sees the cross slipping to the 0.69 area in a 6-month view.
Key Quotes
“Looking further ahead, the combination of additional EUR weakness caused by the ECB’s ‘hot potato effect’ coupled with repricing of the BoE should keep EUR/GBP under pressure in the coming months and we target EUR/GBP at 0.69 in 6M”.
“On a six- to 12-month horizon, we expect EUR/GBP to stabilise and to eventually move higher as the eurozone recovers and as eurozone inflation is set to pick up significantly”.
“This should cause EUR downside to fade and we target the cross at 0.71 in 12 months”.
(Market News Provided by FXstreet)