The Euro continues falling. Overview for 05.02.2021
Bearish pressure on EURUSD continues on Friday; market players are rooting for the “greenback”.
They continue selling the major currency pair at the end of the first February week. The current quote for the instrument is 1.1960.
Market players are still rooting for the USD and against the Euro due to the weak macroeconomic statistics published by the alliance and its members. Another reason is a gloomy economic outlook due to lockdowns in Europe.
The statistics published by the USA yesterday indicated that the weekly Unemployment Claims report showed 779K after being 812K the week before and against the expected reading of 828K. it’s a very good number and a positive signal for the American economy.
The Factory Orders showed +1.1% m/m in December against the expected reading of +0.7% m/m. by the way, the November data was revised upwards, +1.3% m/m, which is also quite good. The Construction Spending also boosted and added 1.0% m/m in December against the expected reading of +0.8% m/m, and that’s also good.
Today’s an important day as the USA continues reporting on its labor market for January. The Unemployment Rate is expected to remain at 6.7%, while the Non-Farm Employment Change may show 85K after losing 140K in December, which may yet be revised upwards. The Average Hourly Earnings indicator is expected to add 0.3% m/m after expanding by 0.8% m/m the month before.
The more stable the numbers, the better for the USD.