Euro/dollar keeps retracting. Overview for 02.03.2021

On Tuesday, the major currency pair remains weak. It is currently trading at 1.2020.

After the USA admitted that they might impose sanctions on the Saudi Arabian crown prince Mohammad bin Salman, world markets got disturbed, and the demand for safe-haven assets enhanced. This situation is the consequence of the murder of a The Washington Post journalist to which, the U.S. intelligence concludes, Saudi Arabian crown prince might somehow be connected.

The situation is far from cheerful, both theoretically and practically, on the eve of OPEC and OPEC+ sessions.

Yesterday's statistics from the USA were neutral. The Markit PMI in production in February grew to 58.6 from 58.5 points. The same indicator calculated officially grew to 60.8 from 58.7 points. Construction costs in January increased by 1.7% m/m after the growth by 1.1% m/m in December and against the forecast growth by 0.7%. This was not bad. Today, the USA are publishing nothing important, however, the EU on the whole and certain countries in particular will be quite active. Germany is publishing labor market info and retail sales in January. Statistics from this country normally makes investors agile. Also, the EU will present the prelim CPI in February.