EURUSD remains under huge pressure and updates its five-month bottom.
The major currency pair continues falling on Wednesday and got very close to its five-month lows. The current quote for the instrument is 1.1735, while the latest bottom is at 1.1745.
The US bond yield is rising again and tugs the “greenback” rate along. Positive factors are an expanding and dynamic anti-coronavirus vaccination campaign in the USA, as well as further discussions of additional stimulus packages.
Later today, US President Joe Biden is planning to announce a scheme to attract money into a 3-4 trillion stimulus package, which might be very interesting. There are no doubts that the country will eventually find this money somewhere and investors are currently happy about this idea as totally positive.
The reverse of the coin, the Euro, is still under huge pressure due to the tightening of quarantine restrictions in Europe in general and France and Germany in particular, which makes short-term prospects for the European economy gloomy and pessimistic.
The statistics published by the USA yesterday showed that the Conference Board Consumer Confidence skyrocketed in March and was 109.7 points, which is much better than expected, after being 90.4 points the month before.
There will be a lot of numbers this afternoon. For example, the Euro Area will publish the flash estimate on the Consumer Price Index, which might show 1.4% u/u in March after being 0.9% y/y in February. The USA is planning to report on its labor market, starting with the ADP Non-Farm Employment Change.
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.