02.05.2016 - The US dollar weakened on the background of data on personal spending

Currency trading and the euro. The price of euro continued to rise against the background of the US dollar decline, which was caused by weak data on personal consumer spending, which rose by 0.1% against the forecast of growth by 0.2%. At the same time, the consumer confidence index in April was 89.0, which is 1.3 less than the forecast. Today, the dynamics of trading will affect the data on the manufacturing PMI of the Eurozone (08:00 GMT) and the US (14:00 GMT). In addition, we should pay attention to construction spending in the US (14:00 GMT). Our medium-term outlook for the euro remains negative, but the current growth may continue in the coming days.

Currency trading and the British pound. The price of the British pound continued to rise gradually inside the uptrend. On Friday was published positive statistics on the net volume of new loans to individuals, which rose to 9.3 billion in March, against the forecast of 5.0 billion. Today, in the UK is the day off. The potential for further growth decreased significantly and we expect an increased level of volatility in the near future.

Currency trading and the Japanese yen. The price of the Japanese yen continued to strengthen against the US dollar in relation to the saving of the Bank of Japan’s monetary policy settings, despite the strong negative impact of the yen on the country's economy growth. At the same time, a weaker dollar supported the positive trend of the yen. In addition, data on the manufacturing PMI Japan, which rose to 48.2 in April against the forecast of 48,00, supported the Japanese currency. Tomorrow in Japan is a day off. Growth of volatility is forecasted on Friday after the release of US labor market data. Our medium-term outlook remains negative for the yen, but its growth may continue in the near future.

Currency trading and the Australian dollar. The price of the Australian dollar fell after the recent rebound caused by the weakening of the US dollar. It is worth noting that investors were disappointed by the manufacturing PMI data in China, which totaled 50.1, which is 0.2 below the forecast of analysts, and the same indicator in Australia fell in April to 53.4, against 58.1 in March. Investors are waiting for tomorrow's statement of the Reserve Bank of Australia on monetary policy and the probability of lowering interest rates increased significantly after in the 1 quarter consumer price index in Australia fell to -0.2%. We expect increased volatility tomorrow forecast the fall in the near future.

Currency trading and the New Zealand dollar. The price of the New Zealand dollar continued to rise due to the positive influence of the weakening US dollar. On the other hand, in the near future on the dynamics of trading will affect the movement of the Australian dollar, the US currency, as well as data on the labor market of the country, which will be released on Tuesday night. According to our estimates, the negative dynamics of prices will resume soon.

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