Greenback Is in the Positive Zone Despite Weak US Labor Market Report

On Friday, the US dollar strengthened again relative to a basket of currency majors despite weak labor market data for March. The dollar index (#DX) closed in the green zone (+0.40%). The stock market fell sharply, but the dollar continued to gain momentum amid declining demand for risk. However, investors are still concerned about the possible worsening of the pandemic around the world and its impact on the global economy. Also, according to Trump, US will probably face two most difficult weeks. The US President warned that Americans should prepare for a significant spike in deaths from coronavirus. White House medical experts forecast that between 100,000 and 240,000 Americans may die during a pandemic, even if they strictly adhere to the quarantine.

The British pound began to decline after it became known that British Prime Minister Boris Johnson was hospitalized for examination due to persistent symptoms of COVID-19. The British Prime Minister was hospitalized on Sunday because he still has symptoms of coronavirus ten days after testing positive for the virus. Downing Street says he continues to lead the government. However, the UK Constitution does not provide for measures regarding who will take the lead if Johnson cannot continue to rule the country.

The "black gold" prices have been declining again. Currently, futures for the WTI crude oil are testing the $27.60 mark per barrel.

Market indicators

On Friday, there was the bearish sentiment in the US stock market: #SPY (-1.45%), #DIA (-1.57%), #QQQ (-1.42%).

The 10-year US government bonds yield increased slightly. At the moment, the indicator is at the level of 0.66-0.67%.

The news feed on 2020.04.06:
  • Today, the publication of important news is not expected.

by JustForex, 2020.04.06

We advise you to get acquainted with the daily forecasts for the major currency pairs.

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.

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