Danske Research revises its EUR/USD rolling targets.

"Macro data continues to suggest that AI-related investments remain a key driver of global final demand growth. Reflecting this, US leading indicators shifted generally higher in September, while European data cooled modestly. Tighter financial conditions and higher energy prices pose a downside risk to growth, which we see relatively more pronounced for the euro area. Inflation exceeded expectations on both sides of the Atlantic in September, but we see a relatively higher risk of underlying inflation picking up in the US. Altogether, we continue to see relative macro as a negative driver for EUR/USD," Danske notes.

"We still think the fundamental drivers for further decline remain in place. Stronger domestic demand in the US, relative monetary policy outlook and elevated energy prices all favour lower EUR/USD over the coming year. We lower the 6-12M target to 1.10," Danske adds.