Standard Chartered Bank forecasts the EUR/USD exchange rate will be 1.12 one year from now.

Standard Chartered Bank believes the new Federal Reserve chairman will not cut interest rates but will also avoid hiking them, keeping rates flat.

The high risk-adjusted return to capital in the United States continues to attract global capital, especially as the rest of the world's economy is slowing down.

The strength of the US dollar is attributed to rising US interest rates, resilient economic growth and earnings, and inflation concerns.

Standard Chartered has been bullish on the US dollar in a market that is overwhelmingly dollar-negative.