Thursday, 3 Jun 2010

EUR Below 1.2000 Against USD Following Mixed Economic Data

The ADP Unemployment Rate showed improvement in the U.S. job market, as 55K jobs were added last month. The figure, although positive is lower than analysts had forecasted. The EUR/USD pair remained flat, until the release of the ISM Manufacturing report. Although the figure was unchanged from last month, investors responded by selling the Euro sending EUR/USD down below 1.2000 again.

As of late, crude oil prices have moved according to the direction of EUR/USD, and today was no exception. Crude oil is currently trading around $74 a barrel after almost reaching $75 earlier today. The price decrease came after relatively disappointing U.S. macro reports, and global economic recovery fears which put doubt on future demand for oil.