The Euro to Dollar (EUR/USD) exchange rate saw a temporary dip to 1.1210 on Thursday following a US trade court ruling that deemed the Trump tariffs unconstitutional. However, the exchange rate bounced back, currently sitting at 1.1285. In a climate of declining dollar strength, Morgan Stanley forecasts that EUR/USD will surge to 1.25 by mid-2026. This translates into a bullish perspective for the Euro against the Dollar as market conditions shift. Investors should watch for developments that might further influence this trend, including inflation and interest rate movements that could impact this currency pair. Morgan Stanley’s predictions highlight a noticeable trend that could reshape market strategies and currency valuations in the coming years.