USD downtrend to extend, EUR, GBP and CAD to enjoy substantial gains – Westpac

FXStreet Insights Team FXStreet

The recent US dollar decline is just the start. Economists at Westpac expect the greenback to lose ground against the euro, sterling and Canadian dollar.

Canadian economy seems more resilient to current headwinds than the US

“EUR/USD is seen appreciating to 1.09 end-2022 and 1.15 end-2023.”

“A robust gain is anticipated for the UK’s sterling to 1.26 end-2022 and 1.34 by end-2023.”

“Modest additional support for the US dollar downtrend should also come from Canada’s dollar, with their economy seemingly more resilient to current headwinds than the US. To our forecast move in USD/CAD from 1.29 currently to 1.25 end-2023, risks are skewed downward given the anticipated broad-based US dollar decline over the period.”

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FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

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