The EUR / USD pair rally from it’s lowest level in the early United States session. That pair moved to the area of 1,1335 or the new daily highest position in the last an hour.
The US dollar is struggling to get an attraction amidst the declining obligation result in the America. That is why; that currency was still in the weekly level. This position was happened on Wednesday.
At last, it can be seen as a key factor to help the EUR / USD pair to maintain and attract the new buying actions. It is especially for the purchases above 1,1300 on Friday. Aside from that, it seems that the market optimism is not that good due to the new variant of COVID-19.
OMICRON may not Make the Economy Recovery Fails
There is a new optimism above the signs that OMICRON is maybe less server than what people are afraid. That is why; this new variant may not make the the economy recovery fails.
In addition, it may not break the greenback safe-haven as well. The varied performances in the equity market together with the Fed Hawkish are the pull factor for greenback.
Furthermore, that can limit the EUR / USD pair movement. The main market economy mover is unable whether from the EuroZone or the United States. That is why; the wider market sentiment and obligation yield result in the America may affect the dollar.
At the end, it can give some supports for the EUR/USD pair in the market. However, the momentum may be limited. It is especially in the middle of the year end sale volume which is quite slight in the new year night.
Meanwhile, the Price of Gold Is Fluctuating
Elsewhere, The price of gold is fluctuating and rise again. It is caused by the declining United States treasury from it’s highest level in a month.
That offset the pressure from dollar which is stronger. Lately, the gold spot increased by 0.5 percent to $ 1,813.16 per ounce.
Phillip Streible as the Head of Marketing Strategy in Blue Line said that now the market participants are in a really low trading volume. He thought that gold will be stable around $ 1,800.
However, the price of that commodity can find more directions with the volume which is predicted to increase up to next week. Streible is quite sure about that.
Why that Price can Decline
Based on the data it could be noted that the prices of gold declined by about 5 percent along this year. That commodity was in it’s largest declining track since 2015.
The reason is the recovered economy from the pandemic where that makes the gold demand is lesser than before. The price reached tge highest level in a month on Tuesday.
However, then it reached the lowest level a week after that in the next session. Limit that increase, the United States stocks rebound in the new risk taste.
That is caused by the declining weekly jobless claim erase the worry of the economy chaos because of the COVID-19 pandemic which is getting higher in the America.
The Reuters Data about COVID-19
The Reuters data showed that the coronavirus infection globally reached the highest record for the last seven days. However, there is one thing which is quite relieving.
That virus is now less severe than before. It becomes a reason why there are so many governments that deny to apply the new lockdown. The market participants are still really careful to take the further actions to do ahead.
Mean while, the goods selling deficit in that country declines. The export is also slipped down after a historical increase happened a month before. The optimism can be seen from the USD/JPY pair so far.
