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A Busy Economic Calendar, the FOMC Minutes, and COVID-19 News in Focus

Earlier in the Day:

It was another busy start to the day on the economic calendar on Wednesday. The Aussie Dollar, Kiwi Dollar, and the Japanese Yen were in action early in the day. There were also stats from China for the markets to also consider.

Away from the economic calendar, there was yet another spike in new COVID-19 cases in the U.S. In spite of the continued spread, there was no major reaction from the markets early on in the day. Fiscal and monetary policy support is expected to continue to roll in. This has continued to support the demand for riskier assets.

Looking at the latest coronavirus numbers

On Tuesday, the number of new coronavirus cases rose by 201,507 to 10,583,878. On Monday, the number of new cases had risen by 153,341. The daily increase was higher than Monday’s rise and up from 158,646 new cases from the previous Tuesday.

Germany, Italy, and Spain reported 934 new cases on Tuesday, which was up from 803 new cases on Monday. On the previous Tuesday, 952 new cases had been reported.

From the U.S, the total number of cases rose by 53,471 to 2,727,853 on Tuesday. On Monday, the total number of cases had risen by 41,940. On Tuesday, 23rd June, a total of 34,399 new cases had been reported.

The Day Ahead for the EUR

It’s a busy day ahead on the economic calendar. June Manufacturing PMIs are due out of Italy and Spain, with Germany’s May retail sales and unemployment figures for June also in focus.

Finalized Manufacturing PMIs are also due out of France, Germany, and the Eurozone.

For the EUR, Germany’s figures along with Italy and the Eurozone’s Manufacturing PMIs will be the key drivers.

Outside of the stats, expect market risk sentiment towards COVID-19 and the economic outlook to remain in focus. Any further talk of fresh stimulus would provide the EUR with support.

At the time of writing, the EUR was up by 0.04% to $1.1239.

According to Trading Central (3rd party RIA) the EUR/USD is long positions above 1.1210 with targets at 1.1240 & 1.1250 in extension

* Past performance is not a guarantee of future performance

https://europefx.tradingcentral.com/Product?PK_ANALYSE=10805847

Number of Lots:Required Margin:Risk Management (50%):Potential Profit/Loss 1.1250
1 € 3,333.33 € 1,666.67 € 284.44
5 € 16,666.67 € 33,333.33 € 1422.22
10 € 33,333.33 € 66,666.67 € 2844.44
25 € 83,333.33 € 166,666.67 € 7111.11
50 € 166,666.67 € 333,333.33 € 14222.22



For the Japanese Yen

2nd quarter Tankan figures were in focus in the early part of the day:

  • All Big Industry CAPEX Index increased by 3.2%, following a 1.8% rise in the 1st quarter. Economists had forecast a 2.1% gain.
  • Big Manufacturing Outlook Index slid by 27%, off the back of an 11% decline in the 1st quarter. Economists had forecast a 24% tumble.
  • The Large Manufactures Index tumbled by 34%, following an 8% decline in the 1st quarter. Economists had forecast a 31% slide.
  • Large Non-Manufacturers Index slid by 17 to reverse an 8% gain from the 1st quarter. Economists had forecast an 18% decline.

The Japanese Yen moved from ¥107.980 to ¥108.056 upon release of the figures. At the time of writing, the Japanese Yen was up by 0.19% to ¥107.73 against the U.S Dollar.

According to Trading Central (3rd party RIA) the long positions above 107.50 with targets at 107.90 & 108.15 in extension.

* Past performance is not a guarantee of future performance

https://europefx.tradingcentral.com/Product?PK_ANALYSE=10805850

Number of Lots:Required Margin:Risk Management (50%):Potential Profit/Loss 108.15
1€ 2,969.30€ 1,484.65€ 421.82
5€ 14,846.49€ 29,692.97€ 2,109.11
10€ 29,692.97€ 59,385.95€ 4,218.21
25€ 74,232.44€ 148,464.87€ 10,545.53
50€ 148,464.87€ 296,929.75€ 21,091.05

https://www.fxempire.com/news/article/a-busy-economic-calendar-the-fomc-minutes-and-covid-19-news-in-focus-658487