US Dollar Forecast

The Swiss Franc should be in demand over the coming days say strategists at RBC Capital Markets and Barclays.

In a significant week for monetary policy, the U.S. dollar is poised to regain strength, with market analysts anticipating a positive trajectory.

The Euro to Dollar exchange rate (EURUSD) is still favoured to return back above 1.15, however, near-term Dollar strength will continue to frustrate any major recovery for some time yet.

GBPUSD could be at risk of retreating back to 1.20 over the coming weeks according to a new technical analysis from Bank of America, however, nearer-term studies suggest further consolidation nearer 1.24.

EURUSD is on course to test parity again according to analysis from Capital Economics.

"We believe this is a temporary comeback, but uncertainty is high and conviction low" - Swedbank.

Matthew Weller, Global Head of Research at FOREX.com, reports that the U.S. dollar is experiencing a rise against all major rivals, including the Euro, despite the absence of significant U.S. economic data.

Jefferies is looking for a stronger Dollar into year-end as a global slowdown and as U.S. funding issues drive demand for the U.S. unit.

Our bullish GBP/USD forecast is unlikely to change much.

GBPUSD hit a new one-year high at 1.2668 at the start of the week but technical analysis reveals it is looking stretched ahead of a key U.S. inflation release and Thursday's all-important Bank of England decision.

Investors are being told to position for further spasms in the U.S. regional banking space, a development that could lead to further declines in some equities, bonds and the Dollar.

The EUR/USD is clearly going to be in focus this week with both the Fed and ECB rate decisions to come ahead of U.S. non-farm payrolls report on Friday.

EUR/USD has peaked and will likely trend lower over a three-month horizon, before rebounding strongly over the 12-month horizon.

GBP/USD is rising again as global equity markets recover with a push to 1.25 being possible if Thursday's U.S. GDP reading disappoints.

The Euro to Dollar exchange rate (EUR/USD) is forecast higher at HSBC with analysts saying their conviction has been cemented by the most recent set of Balance of Payment (BoP) figures from the Eurozone.

The Dollar could be about to make another leg lower that will allow the Euro and Pound to rally to fresh multi-month highs before the northern hemisphere's summer sets in, however, a lull in price action might then be expected.

UniCredit Bank forecasts further Euro gains against the Dollar that will bring new year-to-date highs above 1.10.

BNP Paribas Securities Corp's Head of Americas Macro Strategy, Calvin Tse, has suggested that the US dollar (USD) could be set for a multi-year structural decline due to several factors.

The Pound to Dollar exchange rate has rallied strongly in recent months and could rise further to 1.30 or so before the curtain closes on 2023.

Stock index futures and crude oil also jumped. The EUR/USD neared 1.10.