Feb 5, 2020
Forex Today: Dollar runs on data, optimism
Here is what you need to know on Thursday, February 6th:
- Upbeat US data continued to support the dollar. The ADP survey showed that the US private sector added 291K in January, almost doubling expectations. The ISM Non-Manufacturing PMI beat with 55.5.
- European data was mixed with upward revisions to Services PMI and Composite PMI, but disappointing Retail Sales. The EUR/USD fell sub-1.1000.
- GBP/USD trapped between encouraging UK data and mounting no-deal concerns. Dollar’s strength weighed more at the end of the day, with the pair settling below 1.3000.
- Wall Street continued its substantial advance, with the three major indexes nearing record highs. US Treasury yields extended their recovery.
- Coronavirus keeps spreading. Market talks about possible progress toward a vaccine fueled European indexes. The news was later denied by WHO Tedros, but equities retained their strength.
- As suspected, Russia is against additional output cuts. Crude oil prices retreated from daily highs, but hold on to modest gains.
- Gold prices spent the day in consolidative mode, with spot gold at around $1,550.
- Crypto Today: Bitcoin breaks down big barrier at $9500