Currency trading and the euro. The price of euro continued to rise against the background of the weakening of the US dollar after the publication of weak statistics on the US manufacturing PMI, which fell in April to 50.8, which is 1.0 less than in March. The comparable figure in the euro area rose by 0.2 to 51.7. Construction spending in the US showed an increase of 0.3%, against an expected growth by 0.5%. In the US on Friday will be published data on the labor market of the country, and the European Commission will present its economic forecasts. Current euro growth may continue in the near future, but the medium-term outlook remains negative.
Currency trading and the British pound. The price of the British pound continued its gradual growth, but the pace has slowed in recently. Yesterday, in the UK was the day off and today the dynamics of trading will affect the recent weakening of the US dollar and the growth of euro. Among macroeconomic data we should pay attention to manufacturing PMI (08:30 GMT). It is worth noting that after the strong growth significantly increased the probability of the British currency correction. At the same time there is a possibility of sharp price movements amid predictions on the results of the referendum on the UK's membership of the EU. Our forecast for the coming months remains negative.
Currency trading and the Japanese yen. The price of the Japanese yen continues to rise against the US dollar, on the background of disappointing macroeconomic data from the US and the recent decision by the Bank of Japan not to soften its monetary policy in the country to deal with the strengthening of the yen. Holidays in Japan will end on Friday, and until that time, the activity of investors will be reduced. We forecast a drop in the price of the yen in the medium term, but the current strengthening may continue in the near future.
Currency trading and the Australian dollar. The price of the Australian dollar showed a sharp decline after the Reserve Bank of Australia decided to lower interest rates by 0.25% to 1.75%. The reason for such a step of the central bank was the reduction of the consumer price index to -0.2% in the 1st quarter of this year, as well as the strengthening of the country's national currency, which also has a negative effect on the economy. It should be noted that a correction on commodity markets will be an additional factor that will put pressure on the Australian dollar quotes in the near future. Our outlook for the Australian dollar in the coming months is negative.
Currency trading and the New Zealand dollar. The price of the New Zealand dollar fell today after failed to overcome the local maximum, as well as the negative impact of the fall of the Australian dollar, which traditionally has a strong impact on the New Zealand currency. Investors are waiting for the publication of important statistics on the labor market in the country (22:45 GMT), which will lead to increased volatility. Our medium-term outlook remains negative.