Long-awaited US GDP report for Q1 2020 was released today at 1:30 pm BST. Data showed that the US economy shrank at an annualized 4.8% QoQ. Market expected a drop of 4%. Private consumption declined 7.6% (exp. -3.6%). The US dollar weakened in a knee-jerk move but the scale of a move was not too big. It is hard to determine the reaction of the stock market as it began to surge just minutes before GDP release on rumours that Gilead Science coronavirus drug is actually effective.
We have one more big event scheduled for today - FOMC decision at 7:00 pm BST. No change to the level of rates is expected but the press conference of Chairman Powell (start at 7:30 pm BST) will surely cover issues like negative rates or asset purchases.
EURUSD made a failed attempt of breaking above the downward trendline yesterday. However, weak US GDP reading could encourage bulls to make one more try. Source: xStation5
BREAKING: Jobless claims bellow expectations! 🚨EURUSD declines 📉
BREAKING: US layoffs in Challenger report lower than previously🔎
Mixed retail sales data from the eurozone➡️EURUSD reaction muted
Economic calendar: US jobless claims and Eurozone retail sales in focus
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
