FXStreet reports that economists at MUFG Bank have made some notable alterations for the forecast profile for EUR/USD.

“We now expect EUR/USD to continue grinding lower towards the 1.1500-level by the end of this year.”

“The US dollar is expected to continue to benefit from the Fed’s hawkish policy shift. The Fed is now planning a faster pace of policy normalization than we had previously expected.” 

“The Fed has sent a clear signal that it will announce QE tapering plans “soon” which most likely means at their next meeting on 3rd November. The main risks to that timeline are posed by a more disorderly outcome from the US debt ceiling stand off and/or evidence of a sharper slowdown for the US economy.”