- The dollar strengthens in the market and the DXY reaches a high in two days.
- EUR / USD in negative territory for the week.
The EUR / USD continues to decline after hitting 1.2150 two-month highs on Thursday. The para has just dropped below 1.2100 reaching a two-day lows. It is trading at the low at 1.2085, with the bearish tone intact.
The combination of a weak euro and the pound, together with an overall recovery in the dollar, keeps the EUR / USD weak. The euro has erased weekly gains, for now snapping a three-week streak with gains.
The DXY is trading above 90.75, while the yields of Treasury bonds do not register significant variations so far on Friday. The 10-year rate is 1.64%.
Recession in the Eurozone, stocks fall
It was known that the Eurozone economy entered a recession during the first quarter, contracting 0.6%. However, the data was better than expected, which was due to a drop of 0.8%. In the previous quarter there had been a contraction of 0.7%. The data had no impact on the euro.
Shares in Europe are falling modestly, and Wall Street futures point to a negative open for the major indices with declines on average of 0.40%.
The economic calendar shows several economic reports ahead of the US At 12:30 GMT, the March personal income and spending report will be published, which includes the data on the price index for personal consumption spending. At the same time the labor cost index will come out. Then at 13:45 GMT it will be the turn of the Chicago PMI index and at 14:00 GMT, the consumer confidence index from the University of Michigan.
Technical levels
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