rfxsignals May 4, 2020 No Comments

The Euro recovered up to its two-week highs. Overview for 01.05.2020


The major currency pair is stable on Friday morning; the 1st day of May will barely be volatile.

Last night, EURUSD reached its two-week highs and will try to keep the positive momentum. The current quote for the instrument is 1.0947.

Yesterday, there was a meeting of the European Central Bank, where the regulator left its monetary policy intact. The key interest rate remained at 0%a and the deposit one at -0.50%. However, no changes were anticipated: the ECB continues working on the QE more actively than expected, so it hurlы all effort into it.

The statistics from the USA turned out to be worse than expected. The Unemployment Claims showed 3.839M against the expected reading of 3.5M. Last week’s number was revised downwards to 4.442M.

The Personal Spending lost 7.5% m/m in March after adding 0.2% m/m in February and against the expected reading of -4.8% m/m. The Personal Income, in its turn, dropped by 2.0% m/m after increasing by 0.6% m/m the month before and against market expectations of -1.6% m/m.

Most likely, April reports on these indicators will be much worse, by 8-10% and 3-5% respectively.

There are no interesting numbers from Europe today as many countries have a holiday. Still, the USA is scheduled to report on the ISM Manufacturing PMI, which is expected to go from 49.1 points in March to 36.7 points in April.