Dollar regathers strength following short-lived correction. Economists at Commerzbank expect the greenback to remain strong.

EUR/USD to trend further to the downside

“The Fed central bankers continue to leave no doubt that fighting inflation with the help of aggressive rate hikes remains their top priority. Of course, they too see risks for the economy, but recent data publications give little cause to the financial markets to question the Fed’s determination.”

“Whichever way one looks at it: yes, it seems questionable how much further the dollar can appreciate from here. However, there are no alternatives at present.” 

“The USD strength may yet continue for a while, with EUR/USD trending further to the downside.”