Today’s publication of key macro data from some of the world’s most important economies has been far from impressive, underscoring key central banks’ cautious approach about normalizing monetary policy.
The euro opened the week on a strong note, recovering back to last week’s high near the 1.2450 mark. Price action moved sharply higher on the European open at 2:00 am CT and saw further gains as the U.S. dollar weakened on frothy data and a tweet from President Trump.
The U.S. dollar lost against most majors even if it appreciated against safe-haven currencies on Friday. The Syrian conflict concerns faded at the end of the week and boosted the USD versus the JPY and the CHF. The release of the meeting notes from the March Federal Open Market Committee proved to be a positive for the American currency as the Fed was more hawkish than expected. Next up for the markets will be the release of retail sales data in the United States and the Bank of Canada (BoC) rate statements.