Euro forecasts: EUR outlook predicted to deteriorate towards the close of 2013

 Analysts at TD Securities have today warned that while the euro looks well supported for now, there could be losses as we head into the close of 2013.

TD Securities analyst Shaun Osborne today tells clients he is predicting the euro to stall in the latter half of this year:
"We expect the USD to remain well-supported against the European currencies.

"The ECB’s decision to cut rates in May – and speculation that the ailing Eurozone economy may yet require more support – has introduced more, near-term downside risk to our EUR/USD forecast.

"We currently expect EUR/USD to trade in a range around 1.35 through the middle of the year before sliding lower.

"But risks appear to be gearing up for a lower EUR/USD exchange rate if the US data remain upbeat and the Eurozone economy struggles to generate growth moving into the second half of the year.

"We may revise our EUR/USD forecast downwards in the next few weeks."