EUR/USD 1.17096
-0.255%
Gold 4687.57
-0.584%
Oil 98.793
0.082%
USD/JPY 157.845
0.150%
GBP/USD 1.35146
-0.184%
GBP/JPY 213.326
-0.030%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
Tip: Alex Polos, Deputy External Governor of the Bank of Canada, delivers a speech on artificial intelligence and productivity in Ottawa.Ukrainian President Zelensky: Ukraine and Lithuania sign drone agreement.On May 13, it was learned from the Institute of Chemistry, Chinese Academy of Sciences, that a research team led by Qiao Yan and Wang Shu, in collaboration with scientists from home and abroad, recently achieved for the first time asymmetric division of artificial cells in terms of morphology and function, filling a long-standing technological gap in the interdisciplinary field of chemistry, materials science, and synthetic biology. The relevant findings were published on May 13 in the international academic journal *Nature*. This research provides a novel experimental model for exploring the origin of life and the formation of primitive cells, and its results are expected to be applied in cutting-edge fields such as biomedicine, biomanufacturing, and intelligent sensing in the future.1. OPEC on Wednesday lowered its forecast for global oil demand growth in 2026, a change consistent with the assessments of other forecasting agencies such as the International Energy Agency, which also lowered its demand expectations due to the impact of the war with Iran. However, according to OPECs monthly oil report published on its website, the agency simultaneously raised its forecast for global oil demand growth in 2027. The 2026 global crude oil demand growth forecast was lowered from 1.38 million barrels per day to 1.17 million barrels per day, while the 2027 global crude oil demand growth forecast was raised from 1.34 million barrels per day to 1.54 million barrels per day. 2. Data released on Wednesday showed that the US PPI surged 1.4% month-on-month in April, after the March figure was revised upward to 0.7%. This increase was the largest since March 2022, with both goods and services prices rising, compared to market expectations of only 0.5% and the initial 0.5% figure released in March. Producer prices have continued to strengthen this year, partly due to rising energy costs, while the Middle East conflict has disrupted shipping in the Strait of Hormuz, impacting global supply chains and leading to shortages of fertilizers, aluminum, and various consumer goods. The PPI rose 6.0% year-on-year, the largest increase since December 2022, significantly higher than Marchs 4.0%, partly due to the gradual exit of the low base effect from last year, thus pushing up the current year-on-year reading. 3. Yahua Group stated on its interactive platform on May 13 that the company has completed the export procedures for lithium concentrate from Zimbabwe and has started shipping. The companys lithium sulfate plant project is progressing and is expected to be completed next year. 4. US EIA inventory data for the week ending May 8: US crude oil exports increased by 742,000 barrels per day to 5.492 million barrels per day. US domestic crude oil production increased by 137,000 barrels to 13.71 million barrels per day. Commercial crude oil inventories, excluding strategic reserves, decreased by 4.306 million barrels to 453 million barrels, a decrease of 0.94%. The four-week average supply of U.S. crude oil products was 20.051 million barrels per day, an increase of 1.08% compared to the same period last year. U.S. Strategic Petroleum Reserve (SPR) inventories decreased by 8.605 million barrels to 384.1 million barrels, a drop of 2.19%. U.S. commercial crude oil imports excluding strategic reserves were 5.901 million barrels per day, an increase of 424,000 barrels per day from the previous week. U.S. EIA Strategic Petroleum Reserve inventories last week were at their lowest level since the week ending October 11, 2024. The largest decline in U.S. EIA Strategic Petroleum Reserve inventories last week was recorded since the week ending August 20, 1982, marking the seventh consecutive week of decline. 5. On the 13th local time, Israel Defense Forces Chief of Staff Zamir, during an inspection in the northern West Bank, stated that the IDF has created a "new security reality" in all war zones, but the current military operations are not over. Zamir stated that the Israeli army is prepared to resume fighting if necessary and maintains a continuous state of readiness on both the defensive and offensive fronts, a readiness that "extends from the West Bank all the way to Tehran." 6. Agricultural consultancy Datagro released its latest forecasts for the Brazilian and global sugar and ethanol markets on Wednesday. Brazils national sugarcane processing volume for 2026/27 is estimated at 698 million tons, with sugar production at 44.2 million tons and ethanol production reaching a record 41.4 billion liters. In Brazils south-central region, sugarcane processing volume for 2026/27 is estimated at 642.2 million tons, with sugar production at 40.98 million tons and ethanol production at 38.61 billion liters.On May 13, UN Deputy Spokesperson Haq stated regarding the brief detention of UN Under-Secretary-General for Security and Safety Gilles Michaud at an Israeli airport that Michaud had received an apology from the Israeli Ministry of Foreign Affairs, which attributed the incident to human error.

EUR/USD Expects Fourth Weekly Gains Above 1.0900 Despite The US Dollar's Rebound Advance Ahead Of US NFP

Daniel Rogers

Apr 07, 2023 11:42

 EUR:USD.png

 

Despite a recent retreat, the EUR/USD bulls maintain control around 1.0920. This reflects the typical Good Friday inactivity and apprehension ahead of the US Nonfarm Payrolls (NFP) report released early in the day. The major currency pair was volatile on Thursday as a result of the US Dollar's initial rebound on fears of a recession, but ended the day unchanged as disappointing US data contrasted with stronger Eurozone data.

 

Fears of a recession in the world's largest economy were prompted by consecutive lackluster US data and falling US Treasury bond yields, giving USD bears a reprieve on Thursday morning. As traders prepared for the all-important NFP, the dollar's subsequent gains were reversed by another disappointing US employment report.

 

Despite this, US Initial Jobless Claims for the week ending March 31 rose to 228K from 200K anticipated and an upwardly revised 246K the prior week. Notable is the increase in Challenger Job Cuts from 77,77K to 89,703K in the given month.

 

Notably, Reuters fanned fears of a recession by citing the most recent decline in the preferred bond market indicator of Federal Reserve (Fed) Chairman Jerome Powell. The most reliable bond market indicator of an imminent economic contraction, according to Federal Reserve research, is the "near-term forward spread" between the forward rate on Treasury bills 18 months from now and the current yield on three-month Treasury bills.

 

According to Reuters, International Monetary Fund (IMF) Managing Director Kristalina Georgieva stated in prepared remarks on Thursday that the global economy is projected to expand by less than 3% in 2023, a decrease from 3.4% in 2022.

 

In other news, Germany's Industrial Production (IP) increased 0.6% year-over-year in February, versus market predictions of -2.7% and previous readings of -1.7%. Additionally, the monthly figures exceeded expectations by 0.1%, coming in at 2.0% compared to 3.7% previously. On Wednesday, Germany Factory Orders for February improved to -5.7% YoY from -12.0% previously revised down and -10.5% market expectations, while MoM growth came in at 4.8% compared to 0.3% expected and 0.5% previous readings.

 

Wall Street and US Treasury bond yields have both reduced weekly losses as a result of these strategies, but investors remain skeptical.

 

In the context of less liquidity surrounding the March US employment report, sporadic activity on the major markets can keep the EUR/USD inactive and prone to abrupt price swings. Notable is the fact that recent dovish Fed forecasts and disappointing US data generate expectations for a positive surprise and enormous price volatility thereafter.


Suggestion