EURUSD: Macro picture continues to point to sub-parity levels in the coming months – ING

EURUSD fell toward 1.0300 on Thursday but erased the majority of its daily losses before closing the day above 1.0350. Economists at ING expect the pair to trade under parity in the coming months.

EURUSD may stay in the 1.0350-1.0400 range into the weekend

“If the Fed remains the key driver for the Dollar, the ECB continues to have a rather marginal role for the Euro, which instead remains primarily tied to global risk sentiment and geopolitical/energy dynamics.”

“EURUSD may stay in the 1.0350-1.0400 trading range into the weekend and while we don’t exclude another short-term mini-rally, we think that the macro picture continues to point to sub-parity levels in the coming months.”