MARKET OUTLOOK - Commerzbank expects the euro to drop to 1.05 against the dollar by the end of the second quarter.

Foreks - Commerzbank analyst Michael Pfister stated that the Euro, which has recently risen due to concerns about growth in the U.S. and optimism regarding Germany’s fiscal spending plans, may weaken in the short term.

Pfister remarked, "The market is being a bit hasty in its current assessment," arguing that the likelihood of the U.S. entering a recession, as feared by some market participants, is low. He emphasized that growth will remain quite strong this year and added that Germany's fiscal stimulus proposal is unlikely to impact the economy before next year. Commerzbank expects the Euro, currently at 1.0857 dollars, to drop to 1.05 dollars by the end of the second quarter.