Market players have been selling the major currency pair for the fourth consecutive trading session; they clearly favor the USD.
EURUSD continues falling on Wednesday – it’s the fourth trading session in a row. The current quote for the instrument is 1.1037.
The Chinese coronavirus issue is still making investors keep their positions in “safe haven” assets and the Dollar is leading this list.
In fact, the news relating to this issue is changing and updating quite fast. For example, the People's Bank of China has already invested about 1.7T yuan in the country’s financial system, which is quite much money. Moreover, the government is taking actions to improve the current epidemiological situation, as well as inform people about the virus and how to avoid it. All this taken together must calm investors down, but it will take some time.
The statistics published yesterday showed that the Factory Orders in the USA added 1.8% m/m in December after losing 1.2% m/m in the previous month and against the expected recovery by 0.7% m/m. the indicator is quite predictable because by a half it consists of already published data on the Durable Goods Orders.
Among reports to be published today, one should pay attention to the Retail Sales in the Euro Area in December, which is expected to lose 0.55 m/m. it’s a bad signal for the Euro.