Euro Forecast

The British Pound may be 2025's worst-performing major currency, but the conditions for recovery are beginning to emerge.

EUR/USD is rising at the start of the week, but technical momentum and fundamental risks associated with the new Trump presidency leave us forecasting more weakness.

Pound Sterling has entered a technical downtrend against the Euro, with Tuesday's labour market report posing new downside risks.

A lack of Eurozone data keeps all eyes on U.S. exceptionalism and the midweek release of inflation data.

Pound Sterling selling resumes on Monday amidst a significant shift in confidence towards the UK at the start of 2025.

EUR/USD is on a journey to parity, but we could see some relief this week if Friday's U.S. job data fails to cross a high bar.

Pound Sterling looks set to firm against the Euro this week, with market liquidity set to build and economic data making a return.

The Euro to Dollar exchange rate could fall to an "ultimate target" below 1.00 according to a new analysis.

January is typically a poor month for the Euro to Dollar exchange rate (EUR/USD).

The Euro will likely remain under pressure against the U.S. Dollar through the Christmas period.

Pound Sterling is under near-term pressure against the Euro.

Nordea Bank anticipates that the Dollar will maintain its strength against the Euro throughout 2025 due to the economic divergence between the US and the Euro area; however, it says not to bet on parity just yet.

Analysis from Bank of America shows Pound Sterling is on a multi-year journey to levels last seen on the day of the EU referendum.

The Euro to Dollar exchange rate (EUR/USD) has formed a base following the sharp selloff of October and November. But it is too soon to suggest an outright recovery is underway.

The Pound to Euro exchange rate holds a constructive setup ahead of this week's European Central Bank (ECB) decision and UK economic growth report.

Pound Sterling could see ongoing resilience against the Euro in the coming months, but one investment bank says such calls might not be ambitious enough.

The Euro would be looking to extend a recent recovery against the Dollar were it not for USD-supportive tariff threats from President-elect Donald Trump over the weekend. In addition, a crunch moment for France's government makes it difficult for the EUR to justify higher levels.

The Pound to Euro exchange rate (GBP/EUR) is trending higher at the start of the new week and could be on course to retest the 2024 highs in the coming days.

The Euro to Dollar exchange rate (EUR/USD) can fall below parity in 2025, but December can see it recover.

The Euro to Dollar exchange rate is under significant pressure, but could be due to some near-term relief.