The Euro ended the month of October a penny higher than a month ago. Economists at the National Bank of Canada expect the common currency to remain vulnerable in the next two quarters.

The outlook for Eurozone economy is negative

“We continue to expect the shared currency to reflect the weak outlook over the next two quarters but do not discount the possibility of a Fed pivot before the second half of next year that could set the stage for a modest rise in EURUSD.”

“Assuming some improvements on inflation and geopolitical front, that could leave some room for Euro appreciation later in our forecast horizon.”