After the ECB cut interest rates by 25 basis points on Thursday, the euro recovered from the decline against the dollar, but analysts at Yuxin Research said that the euro may fall again soon.

They said that just as investors face the prospect that the ECB may cut interest rates further in the next few months and may cut interest rates at every meeting, better-than-expected US data “favors the US dollar,” pointing to a slower pace of interest rate cuts by the US Federal Reserve.

Yushin said that if EUR/USD falls below $1.08, it could fall to $1.07.

According to FactSet, the euro rose 0.1% to $1.0843, and fell to a two-and-a-half-month low of $1.0811 on Thursday.