EUR/USD will hover between 1.09 and 1.12 for the foreseeable future – Crédit Agricole

Economists at Crédit Agricole expect EUR/USD to trade in a stable range.

Short-lived Eurozone growth

After the Fed hits its peak, the ECB is expected to follow suit. This synchronicity may limit any substantial widening in the EUR/USD rate spread, constraining any significant upside for the EUR against the USD.

Any outperformance by the Eurozone over the US in terms of economic growth might be both modest and temporary, challenging sustained EUR appreciation.

EUR/USD will hover between 1.09 and 1.12 for the foreseeable future.