Snippet from DB on the euro, saying their view on it is neutral and hence they've lowered their end-2023 forecast to 1.07 from 1.15 previously.
DB says the main reason they remain neutral EUR/USD is the pair has failed to break higher this year due to the relative outperformance of US growth to Europe.
But further out:
- We see this growth divergence as having peaked with forward-looking indicators improving in Europe but deteriorating in the US
On inflation and monetary policy DB nod to the FOMC as still the "most important catalyst for a move lower in the Dollar"
- the US inflation picture is looking increasingly benign
