EUR/USD: the euro should head towards 1.30 by the end of the year (Morgan Stanley)

Morgan Stanley is reducing its long-term forecast on the USD and believes that the decline should start sooner and be more pronounced.

The reasons for this are the global demand for both capital and the best economic performance.

The previously anticipated US bullish correction for the second half of the year is now expected for Q2.

In this context of a falling dollar, Morgan Stanley believes that the EUR/USD could rise to 1.30 by the end of the year.