Credit Suisse discusses its targets for EUR/USD, AUD/USD USD/JPY, and GBP/USD over the coming month.
"For the past few weeks, we have argued that levels such as EURUSD 1.18, UDJPY 105 and AUDUSD 0.72 would be tough nuts to crack near term given positioning, widespread anti-USD narratives and rising Covid numbers in some key countries outside the US. But this phase now seems to have run its course, and with the key Sep 16 FOMC trigger now within a one-month timeframe, we want to re-align our near-term views with our medium-term bearish USD view," CS notes.
"As such, we now update some of our key near-term forecasts. We now look for EURUSD to push towards 1.2100 over the next month, to around the highs seen in September 2017. Similarly, we nudge down our USDJPY target to 104.50, push up our AUDUSD target to 0.7350 and our GBPUSD goal to 1.3300," CS adds.