Forex Marketz Daily Forex News – Fully Markets Update
The U.S. dollar is on track for a weekly gain of two percent during the Asian trade session on Friday. The dollar was boosted by a surge in oil prices and traders running into liquidity backed safety as they worry about a global economic recession thanks to the coronavirus pandemic.
The greenback is consolidating after last month’s flight to cash sent the U.S. currency soaring higher. This prompted the Federal Reserve Board to flood the Forex and financial markets with liquidity.
The dollar index, which measures the U.S. currency in a basket against six other currencies, is up 1.8 percent so far this week. The USD index last traded at 100.210 and on track for its best weekly gain since the middle of March.
The EUR/USD currency exchange rate was last trading at 1.0838 and down 2.7 percent so far for the week.
The AUD/USD Forex market was last trading at 0.6054 and the NZD/USD currency exchange rate was last at 0.5903. Against the British pound the greenback was last trading at 1.2376.
Traders Support the Dollar after Dismal U.S. Labor Data
On Thursday, the U.S. Labor Department released weekly unemployment claims, for the week ending 27 March. This report showed that the U.S. labor sector is cratering as employers are laying off workers in record numbers.
This surge in unemployment applications has never been seen before.
Last week over 6.6 million American workers filed for unemployment benefits. This brings the two total to ten (10) million as the coronavirus brings the world’s largest economy to its knees.
Forex Traders Look wait on the NFP and Key ISM PMI Data
Later today, at 8:15 am EST, the United States will release their closely watched non-farm payroll (NFP) report. The U.S. is also releasing their monthly unemployment rate and average hourly wages.
There is also key ISM PMI data. The Institute for Supply Management (ISM) will release the March non-manufacturing (services) purchasing managers’ index (PMI). The final services PMI is also on the schedule.
The Eurozone is releasing monthly retail sales data. The Eurozone is also publishing monthly final services PMI data. Italy will release their monthly non-manufacturing (services) purchasing managers’ index (PMI). The United Kingdom will publish their final non-manufacturing (services) purchasing managers’ index (PMI).
