By the end of the year, the European currency will equal the American currency in price.
Political changes in the US will lead to a decline in the value of the euro.
Bloomberg reports this, citing European financial analysts.
What will happen to the dollar and euro in the coming months
With Donald Trump winning the US presidential election and interest rates expected to fall in Europe, currency market participants have begun to reduce their exposure to euros.
Analysts at ING Groep NV and ABN Amro Bank NV predict a further decline in the European currency against the American one.
As Georgette Buele of ABN Amro Bank NV explained, the growing difference in rates between the US Federal Reserve and the European Central Bank could put pressure on the European currency and bring it to parity with the dollar.
Deutsche Bank AG and Mizuho Financial Group Inc. expect the euro to end the year at $1.05 and $1.03, respectively.
