EUR/USD: Nomura continues to expect 800-pip drop within 6 months

In a note published this morning, Nomura again reiterates its bearish view on the EUR/USD:

"We continue to favor bearish positions on the EUR/USD, anticipating a fall to parity (1.0000) by mid 2016.

The divergence between Fed policy and that of the ECB should remain a key factor, provided that US data remains solid in the coming months.

In addition, the medium-term exiting flow of EUR is gaining ground, which should continue to put pressure on the euro."