Forex news from the European trading session - 6 May 2020
Headlines:
- UK PM Johnson: We will want to get going with some lockdown changes on Monday
- China considers dropping numerical GDP growth target for 2020 - report
- Russia deputy energy minister: No reasons for oil to fall to or below zero now
- China reportedly won't prioritise inviting international experts to investigate source of coronavirus
- European Commission sees euro area GDP falling by 7.7% this year
- Eurozone March retail sales -11.2% vs -10.6% m/m expected
- Austria extends border controls until 31 May
- UK April construction PMI 8.2 vs 21.7 expected
- Eurozone April final services PMI 12.0 vs 11.7 prelim
- Germany April final services PMI 16.2 vs 15.9 prelim
- France April final services PMI 10.2 vs 10.4 prelim
- China says that US has no evidence that coronavirus originated in a lab
- Italy April services PMI 10.8 vs 9.0 expected
- Spain April services PMI 7.1 vs 10.0 expected
- Germany March factory orders -15.6% vs -10.0% m/m expected
- Germany reportedly to allow states to decide on their own about gradual reopening
- Germany reports 948 new coronavirus cases, 165 deaths in latest update
Headlines:
- JPY leads, GBP lags on the day
- European equities mixed; E-minis up 0.7%
- US 10-year yields up 1.4 bps to 0.676%
- Gold down 0.3% to $1,701.36
- WTI down -1.5% to $24.20
- Bitcoin up 4.2% to $9,330
Major currencies are sitting more mixed on the day as the market mood is also a little undecided in European morning trade.
European stocks are trading in a mixed mood, generally a little lower and more tepid. Meanwhile, US futures are still keeping around 0.6% to 0.8% higher on the session.
The euro and pound eased lower, with cable falling under 1.2400 while EUR/USD also tested fresh one-week lows just under 1.0800 but both are off their lows now.
The yen kept firmer during the session, with USD/JPY moving from 106.30 to 106.08.
Meanwhile, the dollar is mixed across the board as it is keeping slightly lower against the aussie and kiwi - though the ranges are still relatively narrow.
Elsewhere, oil prices gave up gains to fall into negative territory now and that is pushing USD/CAD higher to 1.4080 currently.
It seems that the market is still in search for some form of clear catalyst and for now, light flows are dictating the game and the technical levels are still being respected.
Looking ahead, we'll have US ADP employment change coming up so let's see how that will shape up North American trading as investors continue to figure out the risk mood.
