The USD is leading so far. Overview for 04.11.2020

EURUSD is responding to all possible news relating to the vote count in the USA. 

The major currency pair is falling on Wednesday morning at the time when the news is “overloaded” with the presidential elections in the USA. The current quote for the instrument is 1.1660.

The key focus of the day is still on the presidential elections in the USA, where the two major candidates, the Republican Donald Trump and the Democrat Joseph Biden, are fighting for the White House. Market players are quite stressed not only due to the fact that one of them is surely going to win but because the final results may be too close. In this case, the losing candidate will get the opportunity to challenge the voting returns and the entire country may plunge into the quagmire of the second part of this “circus”.

As long as the votes are being counted, the “greenback” is in demand as a “safe haven” asset. 

The statistics published yesterday showed that the Factory Orders added 1.1% m/m in the USA in September against the expected reading of +1.0% m/m. It’s a good result, which indicates new orders, hence more active demand. 

Today, the USA is scheduled to report on the Trade Balance in September and the Markit Services PMI for October. In the afternoon, the Euro Area will report on the PPI for September and the Services PMI for October. 

However, all this won’t matter as long as they are counting votes in the USA.