Analysts at Danske Bank note that EUR/USD lifted yesterday on rising hopes of a averting a no-deal Brexit and as Fed’s Powell reiterated the need to be reactive to economic and financial conditions.

“The likelihood of a postponement of the deadline for Brexit and/or a trade deal remain EUR positives near term; both would be significant developments in lifting some of the political risks that have been weighing on the single currency for a long time. We continue to target EUR/USD at 1.15 in 1-3M.”