Bank of America Global Research maintains its EUR/USD profile unchanged targeting the pair through 1.14 into year-end.
"We expect a USD rally into the election and possibly beyond, depending on the outcome. We continue to expect a decline in EUR/USD to 1.14 by the year-end, significantly below current levels, rebounding again next year as the global recovery eventually takes hold. An increase in FX risk premium amid more volatile market conditions - which we believe are consistent with present high uncertainty and lack of official policy support - appears a necessary condition for a USD rally, however," BofA notes.
"For next year, we expect EURUSD at 1.20. Our long-term equilibrium range estimate is 1.20-1.25," BofA adds.