Negative market sentiment that carried over from last Friday’s trading session, where the U.S. Non-Farm Payrolls failed to meet market expectations, is weighing on the Majors. A lack of economic data on the calendar holds the current trading environment in place.
The major indices have been lower, with the DAX down 0.57% and the S&P 500 lower by 1.35%. As such, traders have been moving back into the US Dollar following the declines in equities on safe-haven buying.
Today’s News Events:
• EUR – 10:00 GMT German Industrial Production m/m
Expectations: 0.7%. Previous: 4.0%
• CAD – 12:15 GMT Housing Starts
Expectations: 203K Previous: 201K
– Reduced risk sentiment could send the EUR/USD lower towards the next support level at 1.1830.
– The next support line for the USD/JPY rests at 91.00.
– A breach below the $69.50 support level could drag the price of spot crude oil lower to the support of $67.00.
