Euro Hits Six-Month High on Macron Victory

EURO

Euro traded above the psychological of $1.10 after the pro-EU centrist Emmanuel Macron comfortably won the French presidential election, to be France's Youngest President. The common currency hit a six-month high vs. the Greenback, despite a strong US data, which released last Friday. 

USD

The U.S. dollar failed to settle above, although the US economy added 211k jobs in April and the unemployment rate fell as much as 4.4% vs. 4.6% forecast.

In addition, the U.S. payrolls grow by just 79k from 98 and the labor force participation rate remained at 62.9% during President Donald Trump's first 100 days, its lowest since the late 1970s.

• The dollar index (DXY), which measures the greenback against a basket of currencies, declined to 98.50.

GBP

The Sterling pound settled around $1.30 boosted by a strong data. Cable jumped higher after the Conservatives Party won a 100-seat majority in the UK's local elections. Technically, the Sterling pound could hit $1.30 during the week.

Gold

The yellow metal failed to pare its losses, despite a weak USD, as risk appetite increased and as political uncertainty in Europe decreased after the pro-EU centrist Emmanuel Macron has won the French presidency. However, Gold is hovering around the support of $1,225; it could re-test $1,233 before declining to $1,200.

Oil

Oil prices recovered at the end of last week’s trading session, rebounding from five-month lows after falling as much as 5%.
U.S. crude recovered amid assurances by Saudi Arabia that Russia could join OPEC in extending supply cuts deal to decrease global supply.

The most important economic events:

• USD Labor Market Conditions Index Change (APR): (GMT 14:00) – Medium – Forecast (N/A) – Previous (0.4).

Disclaimer
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