RationalFX : Sterling moved to a three-week high versus the euro on Thursday and held recent gains versus the dollar, as the British currency was swept up in global market swings that weakened the euro broadly….
The pound has recently rebounded after crashing amid corona-virus-driven panic in global markets last month to levels not seen in more than a decade versus the euro and since 1985 against the greenback.
Sterling climbed further yesterday as the single currency slid broadly on investor concerns after disagreement between euro zone governments over a rescue package for countries struggling to cope with the corona-virus pandemic.
The dollar rose against a basket of currencies for a second straight day on Thursday as investors, worried about the prospect of a global recession, continued to take shelter in the greenback.
U.S. jobless claims in the latest week soared to a record level, yet the dollar’s reaction was tepid at most.
Initial claims for unemployment benefits rose to 6.65 million in the latest week from an unrevised 3.3 million the previous week. The figure far exceeded the median estimate of 3.5 million. Attention now turns to today’s release of non-farm payrolls for March.
1:30 – USD – Average hourly earnings – forecast at 0.2% from previous 0.3%
1:30 – USD – Non-farm employment change – forecast at -100k from previous 273k
1:30 – USD – Unemployment rate – forecast 3.8% from previous 3.5%
Source : ETFWorld.co.uk