Employment Data To Lift Dollar Gloom?
The US index looked firmer on the opening session this morning as it regained a foothold above 93. This comes after recording new 2020 lows from the end of last week.
Increased hopes of a deal in the US political scenario to unlock another stimulus package continue to support a better mood.
Further uncertainty remains around the greenback as we await the NFP later today. President Trump is attempting to boost the event by already stating that a big job number will be released.
Euro Cautious, but Heading in the Right Direction
The euro broke over 1.19 in yesterday’s trading closing 0.11% higher.
The EU’s recovery fund has been received as a step towards a more resilient eurozone. However, the fear factor remains with potential spikes of the pandemic popping up.
The US dollar’s recent gains over the yen are steadily being wiped out during this week. The pair closed 0.11% down on Thursday’s session. The safe-haven asset will be closely monitored as we approach the US unemployment announcement.
Pound Remains Upbeat Amid Economy Concerns
The pound closed 0.22% higher on Thursday staying above 1.31 as the BoE kept its base rate unchanged.
The view is that the UK’s economy will bounce back from the pandemic, with forecasts showing a faster initial rebound in GDP. However, it will be a long slow grind before output and employment return to pre-pandemic levels.
Indices on a High, but for How Long?
US indices continued their climb into fresh territory. Microsoft, Apple, and Cisco Systems led the rally as they remain upbeat as we head into today’s employment news.
The Nasdaq continued to impress as it broke above 11,000 for the first time. However, the opening on Friday’s session sees trading down by 0.56%.
Sentiment could shift as we approach the US jobs data.
The Yellow Metal Keeps on Giving
Gold maintained its bullish momentum as it closed 1.18% higher yesterday. Assurances from the safe haven led investors to continue the rally over prolonged doubts of COVID and US stimulus issues.
With lingering US-Sino tensions and fears of further pandemic struggles, will it be much longer before we see $2,500?
Can WTI Maintain the Bull Run?
WTI struggled to keep above $42 as it closed 0.47% down on Thursday. The recent lofty highs of over $43 witnessed during the week were overturned.