The main currency pair is trading to the downside; investors are careful in their reaction to the published statistics.
In late Wednesday afternoon, the Eurodollar is moving downwards. The current quote for the instrument is 1.1490. The market is all adrift after yesterday’s rally, given that the published statistics is very complicated.
Today’s report indicated that retail sales in the Eurozone in March reduced by 0.5% after the increase by 0.3% in February. This decrease was expected actually, but a bit less. On a year-on-year basis, retails sales in Europe increased by 2.1% against the expected number of 2.5%. However, it’s still less than previous reports, when the indicator increased by 2.7%.
Earlier, over three months, retails sales in the Eurozone were constantly gaining weight. The current decline indicates that investors are very cautious about everyday expenses. The signal itself is short-term, and its negativity influences the main currency pair.
A bit later, the USA published their statistics as well – as usual, at the beginning of the month, they publish a lot of statistics concerning the employment market over the previous period. Today, the report about employment in the private sector was provided by ADP. According to it, the number of jobs in April increased by 165 thousand against the predicted number of 196 thousand. In March, by the way, the indicator increased by 194 thousand (revised number). Generally, the number of jobs still increases, only the production sector decreased significantly. Construction and trade sectors remain quite stable.
This week, the EUR/USD pair will remain volatile. Now, the capital markets are going to evaluate the reports about the employment market very carefully, in order to draw better conclusions concerning the future monetary actions of the USA Federal Reserve System.
RoboForex Analytical Department
Without authorization, you can view no more than two reviews per day and no more than 10 per month. To continue reading analytical reviews, register or login to your Members Area.