Euro Cheapening Fast. Overview for 05.05.2020
On the previous trading day, the EURUSD pair turned significantly weaker and today remains weak. The current quotation is 1.0906.
The statistics published recently showed that the Sentix investor trust index in May had fallen to -41.8 points against the forecast -25.9 points. Of course, the region is in the middle of an economic crisis, and there are few reasons for optimism in the short perspective. However, the Eurozone has done a lot to support the economy, and we will soon see the effect. By the way, today the Federal Constitutional Court (Germany) will make its judgment on the ESM program and the financial pact of the EU. There are many arguable moments in the program but for now any support measures will do.
Yesterday, the US published the statistics of the industrial orders volume in March. The index dropped by 10.3% (per month) against the previous decline by 0.1% and the forecast 9.2%. The digits look logical because even then the economic system saw the approaching influence of the pandemics.
On Tuesday, the Eurozone will publish the producer price index in March. A steep decline is expected. The US are preparing the trade balance in March and the business activity index in April.
However, the most interesting American statistics is due at the end of the week when the data on the labor market in April will be published. The digits are expected to be extremely weak, but the reality is able to scare the investors even more.