Forex. Euro/Dollar (EUR/USD) trading forecast for today, April 13
On Monday, EUR slightly strengthened against the US Dollar and reached 1.1915. The movement was a continuation of the dynamics of the previous week and was not caused by fundamental factors.
Germany is lowering its economic growth forecasts for this year from 3.5% to 3% due to the ongoing isolation measures in the country. At the same time, the Association of German industrialists predicts a strengthening of production by 8% in 2021 and an increase in exports to 8.5% from the previous forecast of 6%. It is possible that growth forecasts for the entire Euro Zone will be revised in the near future, as the third wave of coronavirus threatens to block the region's economy again.
The US economy, on the contrary, is recovering from the pandemic and is at a turning point, Federal Reserve Chairman Jerome Powell said on Monday. He noted that the forecasts suggest faster growth and active job creation. The U.S. recovery is expected to be very solid in the second half of the year. The Fed and private-sector economic forecasters expect the country's employment growth to reach 6-7% in 2021, the highest in 30 years. It is also expected that unemployment will fall from 6% to 4-5%. The head of the Federal Reserve recalled that the main risk for the US economy is still the spread of the coronavirus, and forecasts can be significantly adjusted if the favorable situation changes.
In the forecast, I expect the EUR/USD to rise to 1.1975.