Earlier in the Day:
It was a comparatively quiet start to the week on the economic calendar this morning. The Aussie Dollar was in action within the early a part of the day.
Risk sentiment took an early hit because the markets reacted to rising tensions between the U.S and China. The blame game has begun because the U.S President looks to shirk responsibility for the spread of the pandemic across the U.S.
Looking at the newest coronavirus numbers,
On Sunday, the amount of latest coronavirus cases rose by 80,636 to 3,565,119. On Saturday, the amount of latest cases had risen by 91,765. While down from Saturday, this was up marginally from a 71,251 increase on the previous Sunday.
France, Germany, Italy, and Spain reported 3,938 new cases on Sunday, which was down from 6,419 new cases on Saturday. France and Germany reported just 297 and 697 news cases respectively.
From the U.S, the entire number of cases rose by 27,348 to 1,188,122 on Sunday. On Saturday, the entire number of cases had risen by 31,714. On Sunday, 26th April, the entire new number of cases had risen by 26,157.
For the Aussie Dollar
Building approvals fell by 4.0% in March. In February, approvals had surged by 19.9%. land sector analysts are going to be talking about how the world was on the up before the COVID-19 pandemic.
Ultimately, however, the stats had a muted impact because the markets skilled rising tensions between the U.S and China and Iran.
The Aussie Dollar moved from $0.63912 to $0.63907 upon release of the figures. At the time of writing, the Aussie Dollar was down by 0.31% to $0.6398.
Elsewhere
At the time of writing, the japanese Yen was up by 0.20% to ¥106.70 against the U.S Dollar, while the Kiwi Dollar was down by 0.46% to $0.6035.
The Day Ahead:
For the EUR
It’s a busy day ahead on the economic calendar. Following Friday’s close, April manufacturing PMIs for Italy and Spain are focused .
Finalized PMI numbers from France, Germany, and Spain also are due out.
While we will expect downward revisions to prelim numbers, Spain and Italy’s numbers will likely alarm the markets.
Ultimately, however, the markets expect some quite dire numbers that ought to limit the downside for the EUR.
Expect the newest COVID-19 numbers and updates on the effectiveness of treatment drug remdesivir to stay key drivers.
Fresh tensions between the U.S and China, will likely also draw many attention throughout the day.
At the time of writing, the EUR was down by 0.33% to $1.0945, with risk aversion weighing early .
For the Pound
It’s a very quiet day ahead on the economic calendar. There are not any material stats due out of the united kingdom today.
The lack of stats puts COVID-19 numbers and geopolitics front and center.
Last week, the govt announced plans to release the blueprint for an easing to lockdown measures at the beginning of the week.
In spite of an upward trend in new cases, the govt announced last week that the COVID-19 peak had passed.
Also focused are going to be early chatter from UK – U.S trade talks that commence on Monday. Trump are going to be looking to urge the EU hot under the collar… that has got to be Pound positive.
At the time of writing, the Pound was down by 0.30% to $1.2468, with tensions between the U.S and China weighing.
Across the Pond
It’s a quiet day ahead on the U.S economic calendar. Key stats are limited to March factory order figures.
We’ve seen the first quarter GDP numbers and now we’ll see economic data that would deliver downward revisions.
Outside of the numbers, there’s also a pickup in geopolitical risk that needs consideration. China might not appreciate the newest accusations to not mention the threat of sanctions…
The Dollar Spot Index was up by 0.23% to 99.308 at the time of writing.
For the Loonie
It’s a quiet day on the economic calendar, with no material stats to supply direction on the day.
The lack of stats will leave the Loonie within the hands of market risk sentiment on the day.
At the time of writing, the Loonie was down by 0.16% to C$1.4112 against the U.S Dollar, at the time of writing.
