EUR/USD: risks remain to the upside for the euro (Credit Agricole)

Crédit Agricole believes that the euro should continue to appreciate on the forex in both the medium and long term, with some short-term downside risks.

"The acceleration of the economic recovery and capital flows in the euro area, as well as the ECB's normalisation, all point to a rise in the EUR on the forex in the medium and long term.

However, the ECB could limit the rise of the euro in the short term, and the Italian election in Q1 2018 remains a downside risk".