Morning Market Review
EUR/USD
EUR shows a downtrend against USD during today's Asian session, continuing the correctional decline which started the day before when the instrument retreated from its local highs since June 11. The appearance of the "bearish" trend was driven by concerns about the rapid increase in the number of new cases of coronavirus in the United States, as well as yesterday's publication of good macroeconomic statistics from the USA. Initial jobless claims for the week ending July 3 decreased from 1.413M to 1.314M, which was better than market expectations. Continuing Jobless Claims for the week ending June 26 decreased from 18.76M to 18.062M, which also turned out to be better than the forecast of 18.95M.
GBP/USD
GBP is lowering against USD during trading at today's Asian session. The instrument retreats from its local highs, updated the day before, being under pressure from technical factors, while the overall picture on the market changes slightly. GBP is still supported by rumors of marked progress on the issue of a trade agreement between the UK and the EU. In addition, investors responded positively to the UK Treasury Secretary's plan for additional support to the British economy, presented on Wednesday. USD, in turn, is strengthening as a safe haven currency, since the latest statistics on the dynamics of the incidence of coronavirus in the US and the world cause more and more anxiety and concern.
NZD/USD
NZD is going down against USD during today's morning session, retreating from local highs, updated on Thursday. The decrease in the instrument is of technical nature, since not much interesting macroeconomic statistics is published. In addition, the demand for safe assets is rising amid a sharp increase in the number of cases of COVID-19 in the United States. Despite record incidence rates, the US authorities are in no hurry to return to quarantine restrictions, so it is not yet clear how soon it will be possible to take control of the new outbreak of the epidemic. New Zealand macroeconomic statistics released on Friday do not have a significant impact on the dynamics of the instrument. Electronic Card Retail Sales in June grew by 8% YoY after a decrease of 6% YoY last month.
USD/JPY
USD shows a steady decline against JPY during today's Asian trading session, updating local lows since June 26. The instrument loses about 0.25%, testing the level of 107.00 for a breakdown. USD is falling against JPY amid a timid correctional growth attempt at the end of the week against many of its other competitors. The disturbing statistics on the dynamics of the incidence rate in the USA are affecting, which threatens the return of new quarantine restrictions and additional measures to support the economy. On Friday, JPY is supported by macroeconomic statistics published in Japan. In June, the Producer Price Index increased by 0.6% MoM after a decline of 0.5% MoM in the previous month. Analysts had expected growth of 0.4% MoM. In annual terms, the index for the same period decreased by 1.6% YoY after rising by 2.8% YoY a month earlier. Analysts had expected decline by 1.9% YoY.
XAU/USD
Gold prices are falling, retreating from their record highs. The instrument is testing an important psychological level of 1800.00 for a breakdown. The appearance of the "bearish" trend is due to the general strengthening of USD in the market, as well as technical factors for correcting long profit. At the same time, the continuing geopolitical risks, as well as the rapid increase in the number of new cases of coronavirus, provide significant support to gold. Against the backdrop of record incidence rates in the United States, analysts believe that the recovery of the US economy may slow down significantly, and authorities will be forced to return some quarantine restrictions and announce additional measures to support the national economy.
EUR/USD
EUR shows a downtrend against USD during today's Asian session, continuing the correctional decline which started the day before when the instrument retreated from its local highs since June 11. The appearance of the "bearish" trend was driven by concerns about the rapid increase in the number of new cases of coronavirus in the United States, as well as yesterday's publication of good macroeconomic statistics from the USA. Initial jobless claims for the week ending July 3 decreased from 1.413M to 1.314M, which was better than market expectations. Continuing Jobless Claims for the week ending June 26 decreased from 18.76M to 18.062M, which also turned out to be better than the forecast of 18.95M.
GBP/USD
GBP is lowering against USD during trading at today's Asian session. The instrument retreats from its local highs, updated the day before, being under pressure from technical factors, while the overall picture on the market changes slightly. GBP is still supported by rumors of marked progress on the issue of a trade agreement between the UK and the EU. In addition, investors responded positively to the UK Treasury Secretary's plan for additional support to the British economy, presented on Wednesday. USD, in turn, is strengthening as a safe haven currency, since the latest statistics on the dynamics of the incidence of coronavirus in the US and the world cause more and more anxiety and concern.
NZD/USD
NZD is going down against USD during today's morning session, retreating from local highs, updated on Thursday. The decrease in the instrument is of technical nature, since not much interesting macroeconomic statistics is published. In addition, the demand for safe assets is rising amid a sharp increase in the number of cases of COVID-19 in the United States. Despite record incidence rates, the US authorities are in no hurry to return to quarantine restrictions, so it is not yet clear how soon it will be possible to take control of the new outbreak of the epidemic. New Zealand macroeconomic statistics released on Friday do not have a significant impact on the dynamics of the instrument. Electronic Card Retail Sales in June grew by 8% YoY after a decrease of 6% YoY last month.
USD/JPY
USD shows a steady decline against JPY during today's Asian trading session, updating local lows since June 26. The instrument loses about 0.25%, testing the level of 107.00 for a breakdown. USD is falling against JPY amid a timid correctional growth attempt at the end of the week against many of its other competitors. The disturbing statistics on the dynamics of the incidence rate in the USA are affecting, which threatens the return of new quarantine restrictions and additional measures to support the economy. On Friday, JPY is supported by macroeconomic statistics published in Japan. In June, the Producer Price Index increased by 0.6% MoM after a decline of 0.5% MoM in the previous month. Analysts had expected growth of 0.4% MoM. In annual terms, the index for the same period decreased by 1.6% YoY after rising by 2.8% YoY a month earlier. Analysts had expected decline by 1.9% YoY.
XAU/USD
Gold prices are falling, retreating from their record highs. The instrument is testing an important psychological level of 1800.00 for a breakdown. The appearance of the "bearish" trend is due to the general strengthening of USD in the market, as well as technical factors for correcting long profit. At the same time, the continuing geopolitical risks, as well as the rapid increase in the number of new cases of coronavirus, provide significant support to gold. Against the backdrop of record incidence rates in the United States, analysts believe that the recovery of the US economy may slow down significantly, and authorities will be forced to return some quarantine restrictions and announce additional measures to support the national economy.