From ECB to NFP

6 March, 2015

A bit of volatility in EURUSD during yesterday’s ECB press conference saw the rate recover to back above 1.1100 as Mario Draghi announced upgrades to growth forecasts for the Eurozone, but the gains were swiftly reversed as we now sit just above 1.1000. Although there was the odd brief visit below 1.1000 the fact that the euro didn’t fall out of bed shows that parity to the dollar, if it comes at all, may not be for a while. The short euro trade remains a very crowded one and so a snap back towards 1.1100 and beyond is possible, especially since ahead of the ECB meeting yesterday economic data had been showing signs that the worst looks to be over for the Eurozone. Next Monday’s commencement of QE comes at a time when the Eurozone is already turning a corner, so it is little wonder growth forecasts were upgraded and the euro is seeing a degree of support.

Today’s focus will shift to the US as we get the release of this month’s nonfarm payroll, expected to come in at 240k slightly down from last month and at the same time unemployment is due to decline from 5.7% to 5.6%. Again a key figure to watch is the average earnings which month on month is due to rise 0.2%. This data is likely to confirm whether the dollar continues to push on to fresh eleven year highs having just on Wednesday broken out beyond the recent highs that had kept its gains capped throughout February.


Source link  
USD Bounces From Month Low

Trump administration has presented its 2018 budget plan to Congress last evening. The budget plan calls to slash $3.6 trillion...

Dollar index hit a new low

The dollar index hit a new post presidential election low of 96.95 on Friday May 19th. EUR/USD hit a high of 1.1211...

USD Hit Post Election Low

To date the dollar index has almost given up all of the post presidential election rally...


BoE Expected to Keep Rates Steady

ECB Governor Draghi will make a speech in the Dutch Parliament at 12:00 BST today. It will be Draghi first speech...

Trump's Tax Reform Plan

US Treasury Secretary Mnuchin announced Trump’s tax reform plan in a press conference...

Corporate Earnings Lift US Stocks

Last week the US President Trump stated on twitter...


Market Concerns Eased

The first-round voting of the French presidential election was revealed on Sunday night...

Dollar Plunged on Trump Second Statement

The dollar index fell to a 2-week low of 99.91 in the early hours...

Markets Eye on the First Trump-Xi Meeting

US President Trump and Chinese president Xi Jinping, are scheduled to meet today at Trump’s Mar-a-Lago resort in Florida...

  


Share: