mask Economic Data to Take a Back Seat Once More As Governments Step Up to Combat COVID-19

18/ 03/ 2020

Economic Data to Take a Back Seat Once More As Governments Step Up to Combat COVID-19

Daily Update - 18th March 2020

Yesterday’s Market

  • EUR ZEW Economic Sentiment
  • GBP Average Earning Index
  • USD Retail Sales

Yesterday’s explained

The dollar held overnight gains against most major currencies on Wednesday, after U.S. yields jumped and as deepening fear around the coronavirus drove a scramble for greenback. The pound and safe-haven yen made the best efforts at recovery, but only managed to recoup fractions of their losses.

The yen was last up 0.3% at 107.37 per dollar, the pound up 0.5% at $1.2108 and the euro (EUR=) was steady at $1.1000. Commodity-sensitive currencies, like the Aussie and kiwi, were trampled below $0.60 in the stampede.


 

Today’s Market

  • EUR Consumer Price Index
  • CAD  Core CPI
  • JPY Exports
  • USD FOMC Economic Projection

Today’s Focus

It’s a relatively busy day ahead on the Eurozone economic calendar. Key stats due out later this morning include finalized Eurozone inflation figures for February and January trade data. The stats are unlikely to have an impact on the majors, with the focus likely to remain on government steps to combat the virus.

Another factor for the markets to also consider is the prospect of regulators shutting down markets. A number of EU member states have raised the possibility of closure, which could add to the market stress near-term.