EURUSD remains weak and may fall even lower.
The major currency is falling on Friday and may update its two-month lows once again. The current quote for the instrument is 1.1670.
As the world is getting more and more concerned about the second wave of the pandemic, the demand of global investors for “safe haven” assets is increasing and helping the USD to get stronger. After all, there aren’t too many assets of a similar nature on the market and the USD is one of the most important ones. In this light, the “greenback” might as well continue strengthening, particularly as the external background is getting worse.
However, the US statistics that are being published are not attracting market players' attention. Yesterday’s data on the Unemployment Claims showed 870K after being 866K last week and against the expected reading of 845K.
Can this indicate a significant deterioration in the US labor market? Hardly, because the actual reading is not very different from the previous one. On the other hand, yesterday’s data is looking pretty good if compared with spring or summer.
At the same time, one should admit that there isn’t much potential for improvement in US employment. Businesses and the real sector already require new financial injections but the country’s government hasn’t arrived at a consensus about them yet.
Today, one should pay attention to the Durable Goods Orders from the USA, which is expected to add 1.1% m/m in August after expanding by 11.4% m/m in July. The indicator is extremely volatile, that’s why one shouldn’t to any significant deviations. However, it will be very interesting to view the components – the details might be really demonstrative.
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.