UBS has revised forecasts for the dollar

Currency strategists UBS, long kept in the ranks of the bulls on the U.S. currency, today reported that, while they continue to rely on further improving its dynamics in the near future, more long-term prospects for the dollar now was not as positive. The bank noted that the combination of changes in revenue, trade flows and external imbalances would help reduce the dollar in the next few years. Earlier, the Swiss bank's strategists had expected the fall of the euro / dollar to $ 1.20 by the end of this year, but is now subjected to the adjustment and the forecast is $ 1.30, while UBS expected the further development of the ascending trend in the pair and its growth to $ 1.40 by the end of next year and to $ 1.50 by the end of 2011. In addition, UBS reported a change in the forecast for the dollar / yen at the end of this year from Y95 to Y100, while maintaining the projection at the end of next year at the same level in Y95.