|Day's Range||0.609 - 0.611|
|52 Week Range||0.5479 - 0.6790|
Economic data puts the EUR in focus, while geopolitics and COVID-19 news and numbers will also influence on the day.
There’s not much anyone can do with the economic data until the virus is contained and the stimulus money starts to circulate through the economy.
Today is Memorial Day in US and Spring Bank Holiday in UK which means the markets should be relatively quiet and we shouldn’t expect any rapid movements.
Retail sales figures will give the Pound and the Loonie direction, with the ECB minutes also in focus. Trump’s Twitter account could be the key driver, however.
Private sector PMIs and U.S jobless claims put the EUR, the Pound, and the Greenback in the spotlight. Numbers out of Japan were not inspiring…
NAB’s cashless retail sales index, which measures debit card, credit card and other cashless spending on NAB platforms, fell 5.3% in April.
It’s a busy day ahead. The FOMC minutes late in the day will draw plenty of attention as market optimism of an economic rebound lingers.
It’s a busy day ahead on the economic calendar. There is also geopolitics to consider with over the course of the day.
The dollar was down on Tuesday morning in Asia after U.S. drugmaker Moderna (NASDAQ:MRNA) announced “positive” results for its potential COVID-19 vaccine on Monday. The U.S. Dollar Index that tracks the greenback against a basket of other currencies slid 0.01% to 99.672 by 12:14 AM ET (5:14 AM GMT). Meanwhile, U.S. Federal Reserve Chair Jerome Powell is scheduled to speak on the state of U.S. economic recovery from the virus on Tuesday, where he is expected to press for future fiscal support.
The Kiwi is expected to remain under pressure after the RBNZ expanded its asset purchase program and discussed negative interest rates.
Oil prices are on the rise and COVID-19 numbers are on the decline as governments ease lockdown measures. it’s “risk-on” early in the day.
Data on Friday showed China’s April industrial output beating expectations but consumption was stuck in the doldrums.
It’s been a busy week thus far, with Powell adding to the risk aversion mid-week. COVID-19 jitters are likely to persist as the tension between China and the U.S lingers
Stanley Druckenmiller has seen a crisis or two in his storied career. The famed former hedge-fund manager, who with George Soros famously broke the Bank of England by shorting the pound in 1992, says “the risk-reward for equity is maybe as bad as I’ve seen it in my career.” Speaking at a webinar run by The Economic Club of New York on Tuesday night, the chairman and chief executive of Duquesne Family Office says it is just not true that it is profitable to be on the side of the Federal Reserve, which has cut interest rates to nearly zero, swelled its balance sheet and initiated several emergency lending programs.
Based on the early price action and the current price at .6084, the direction of the NZD/USD the rest of the session on Tuesday is likely to be determined by trader reaction to the main Fibonacci level at .6074 and the short-term 50% level at .6043.
As China and South Korea report a rise in new cases, will other governments need to tread more carefully? Risk aversion hits the markets early…
The Reserve Bank of New Zealand (RBNZ) is expected to leave its benchmark rate at 0.25%. Out of Australia, the Employment Change is expected to show 550K jobs were lost last month. The Unemployment Rate is forecast to rise from 5.2% to 8.3%.
Base on the recent price action, we’re looking for the upside bias to continue as long as the NZD/USD holds above the main Fibonacci level at .6074.
The U.S. Dollar Index that tracks the greenback against a basket of other currencies slipped 0.04% to 99.725 by 11: 25 PM ET (4:25 AM GMT). The number of U.S. unemployment claims since late March soared above 30 million on Thursday, and Treasury Secretary Steve Mnuchin warned overnight that the U.S. unemployment rate could already have reached 25%.
Based on the early price action, the direction of the NZD/USD the rest of the session on Friday is likely to be determined by trader reaction to the Fibonacci level at .6074.
A drop in demand for risky assets fueled by bearish comments from a high-ranking Fed official helped fuel a late session sell-off in the higher-yielding Australian Dollar on Tuesday.
Based on the early price action and the current price at .6055, the direction of the NZD/USD the rest of the session on Wednesday is likely to be determined by trader reaction to the main Fibonacci level at .6074 and the short-term 50% level at .6043.
The U.S. dollar was down on Tuesday morning in Asia, with stocks up as some countries reopened their economies the day before. The U.S. Dollar index that tracks the greenback against a basket of other currencies slipped 0.04% to 99.528 by 12:02 AM ET (5:02 AM GMT). The USD/CNY pair remained steady at 7.0622, with investors’ optimism about China’s reopening in the aftermath of the COVID-19 virus mingling with caution amid increased U.S.-China tensions over the origins of the virus.