ING’s Chris Turner Expects EUR/USD to Extend Decline Before Rebounding Later This Year

ING analyst Chris Turner said the euro may continue its recent slide against the U.S. dollar in the coming weeks, before recovering later this year. According to ChainCatcher, Turner wrote in a report that while falling energy prices are supportive for the euro, expectations of U.S. interest-rate hikes are likely to dominate market pricing. He said that if markets price in a 50-basis-point hike, EUR/USD could attempt to break below $1.13. Turner added that, based on his current assessment, the Federal Reserve will not raise rates, and he expects the euro to return to the $1.16 to $1.18 range in November or December.