EUR/USD

EUR shows negative dynamics against USD during today's Asian session, retreating from local highs since February 12, updated the day before. EUR is noticeably pressured by the weakening of the European economy amid continuing risks of the spread of the coronavirus epidemic. An outbreak in Italy threatens to exacerbate negative economic results in the country, reduce tourist popularity and push the economy towards a technical recession. A possible recession threatens the largest economy in Europe as well. At the same time, macroeconomic statistics from Germany published on Tuesday turned out to be neutral. According to updated data, German GDP for Q4 2019 increased by 0% QoQ and 0.4% YoY. Excluding seasonal adjustments, the German economy added 0.3% YoY.

GBP/USD

GBP is falling against USD during today's Asian session, again correcting after the growth the day before, which led to the renewal of local highs of February 19. The instrument loses about 0.10%, testing the level of 1.2980 for a breakdown. The growth of GBP on Tuesday was facilitated by the correctional sentiment against USD, while there are still not many fundamental reasons for the recovery of the pound. CBI Distributive Trades Survey published yesterday indicated an increase in sales volumes in February of only 1.0% MoM, while investors had expected an increase of 4% MoM. BRC Shop Price Index (it was released during today's Asian session) accelerated its decline from –0.3% YoY to –0.6% YoY.

AUD/USD

AUD shows a decline against USD during today's Asian session, returning to record lows, updated earlier this week. Pressure on the instrument is exerted by negative macroeconomic publications from Australia. Construction Work Done in Q4 2019 sharply decreased by 3% QoQ after a slight increase of 0.4% QoQ in the previous quarter. Analysts had expected negative dynamics, but expected a decrease of 1.0% QoQ. Negativity from Australia contrasts markedly with a number of optimistic US publications coming out on Tuesday. According to December results, the US Housing Price Index increased by 0.6% MoM after rising by 0.3% MoM in the previous month. S&P/Case-Shiller Home Price Indices accelerated over the same period from 2.5% YoY to 2.9% YoY, ahead of its forecasts (2.8% YoY).

USD/JPY

USD significantly strengthens against JPY during today's Asian session, correcting after the collapse of quotations for three consecutive trading sessions. The surge in demand for JPY is associated with an aggravation of the situation around the spread of coronavirus after official statistics indicated an increase in the incidence outside of China. The current positive dynamics of the instrument is due to technical factors, as well as to the publication of good data from the USA on the dynamics of Housing Prices, which are likely to support the general increase in inflation in the country. Japanese investors are focused on statistics from Japan, which will appear this Friday. The data on the labor market, retail sales and industrial production dynamics, as well as the pace of housing construction started in early 2020, are expected to be published.

XAU/USD

Gold prices show growth during today's Asian session, correcting after a sharp decline in quotations yesterday. The instrument is testing the level of 1645.00 for a breakout. Analysts attribute the appearance of negative trading dynamics on Tuesday to the fixation of long profits after updating seven-year highs. At the same time, investors are still frightened by statistics on the spread of the incidence of coronavirus outside of China, which supports gold quotes. Additional support for the instrument is provided by talks about the possible introduction by the leading regulators of changes in monetary policy in order to mitigate the negative consequences of a slowdown in the global economy. A number of analysts believe that the Fed may return to the idea of cutting rates already at the March meeting.

EUR/USD

EUR shows a slight decrease against USD during today's Asian session, correcting after a sharp yesterday's increase in the instrument which led to the renewal of local highs of February 6. The reason for the strengthening of the "bullish" sentiment on Thursday was the weak macroeconomic statistics from the US, which only strengthened market concerns about a possible interest rate cut by the Fed. In turn, European data came close to their forecasts, although they did not radiate much optimism either. One way or another, published statistics confirmed that the US economy grew by 2.1% YoY in Q4 2019. At the same time, GDP Price Index for the same period slowed down from 1.5% to 1.3%, which turned out to be worse than market expectations of 1.4%. Personal Consumption Expenditures Prices also weakened from 1.6% QoQ to 1.3% QoQ with a neutral outlook. Today, investors are focused on German data on Unemployment Rate and Consumer Inflation for February. The US will publish statistics on Personal Income and Spending for January.

GBP/USD

GBP is trading near zero against USD during today's Asian session, trading near the local lows of February 20. Pressure on GBP intensified amid growing concerns about Britain’s ability to negotiate a trade deal with the EU. The day before, UK officials reiterated that they were not ready to make concessions to the detriment of the country's sovereignty for the sake of concluding a deal with the EU. In addition, investors are somewhat disappointed with the Treasury’s reaction to the plans of the new UK finance minister, Rishi Sunak, to sharply increase government spending and reduce taxes. Apparently, Sunak will not be able to implement the initial plan, which may push the Bank of England to new measures to stimulate the national economy.

AUD/USD

AUD declines against USD during today's Asian session, updating record lows of March 2009. The instrument loses about 0.63%, testing the level of 0.6520 for a breakdown. Investors are again selling AUD amid growing risks of the further spread of coronavirus outside of China, which is increasingly threatening global financial stability and pushing regulators to new stimulation measures. Uncertain macroeconomic statistics from the USA published the day before contributed to the appearance of a moderate growth of the pair, of which there is currently no trace. Friday's data from Australia so far remain without attention. Meanwhile, Private Sector Credit in January accelerated from 0.2% MoM to 0.3% MoM, which turned out to be better than market expectations. In annual terms, the indicator grew by 2.5% YoY after an increase of 2.4% YoY in the previous month.

USD/JPY

USD is actively falling against JPY during today's Asian session. The instrument loses about 0.58%, testing the level of 109.00 for a breakdown. JPY again seized the initiative for some period and now it attracts investors as a safe asset. In turn, the macroeconomic statistics from Japan published today leaves much to be desired. Tokyo Core CPI slowed down in February from 0.7% YoY to 0.5% YoY, which turned out to be worse than market expectations of 0.6% YoY. Unemployment Rate in January rose sharply from 2.2% to 2.4% with a neutral forecast. Retail Sales in January rose by 0.6% MoM after rising by 0.2% MoM in the previous month. Analysts had expected the increase of 2.4% MoM. Industrial Production Rates in January continued to decline by 2.5% YoY after a decrease of 3.1% YoY in December. Analysts predicted a more significant decrease of 9.5% YoY. In monthly terms, production slowed down from 1.2% MoM to 0.8% MoM with a forecast of growth of 0.2% MoM.

XAU/USD

Gold prices show an uncertain downtrend during today's Asian session, correcting after rising for two consecutive sessions. Quotations are still supported by increased risks of the further spread of coronavirus outside of China. In addition, markets are concerned about a possible reduction in interest rates by leading regulators. Macroeconomic statistics from the USA published the day before did not add optimism to USD; however, low demand for risk continues to support it as well.

EUR/USD

EUR has shown ambiguous growth against USD during today's Asian session, updating monthly highs at the opening. The growth of the instrument was slightly corrected and EUR retreated from its highs to 1.1050, maintaining the general "bullish" sentiment. Investors are still focused on macroeconomic statistics from Germany, which appeared at the end of last week. Investors were optimistic about the decrease in Unemployment Change in Germany in February by 10K after a decrease of 4K in the previous month. Experts expected the growth by 3K. At the same time, the Unemployment Rate in February remained at the same level of 5%. Consumer inflation data also supported EUR. German Consumer Price Index in February showed an increase of 0.4% MoM and 1.7% YoY, which was slightly better than market expectations of 0.3% MoM and 1.7% YoY. Harmonized Price Index for the same period accelerated from 1.6% YoY to 1.7% YoY, exceeding forecasts.

GBP/USD

GBP shows corrective growth against USD during today's Asian session, retreating from the lows of October 2019, updated at the end of trading last week. The instrument is testing the level of 1.2820 for a breakout. The development of corrective sentiment, in addition to the technical factors of short profit taking, is facilitated by the publication of contradictory macroeconomic statistics from the US last Friday. In particular, investors were disappointed by the weak dynamics of Personal Spending of US citizens. In January, the growth in spending dynamics slowed from 0.4% MoM to 0.2% MoM, which turned out to be worse than market expectations of 0.3% MoM. At the same time, the Chicago PMI in February increased from 42.9 to 49 points against the forecast of growth to 45.9 points. Michigan Consumer Sentiment Index for the same period slightly strengthened from 100.9 to 101 points. During the day, investors expect the publication of macroeconomic statistics on business activity in the manufacturing sector of the UK and the USA.

AUD/USD

AUD has shown a sharp increase during today's Asian session, quickly retreating from record lows updated last Friday. Macroeconomic statistics from Australia provides moderate support for AUD on Monday, while USD remains vulnerable after hints of a possible reduction in interest rates by the Fed. Commonwealth Bank’s Manufacturing PMI rose from 49.6 to 50.2 points in February against a forecast of growth of only 49.8 points. At the same time, AiG Manufacturing PMI fell in February from 45.4 to 44.3 points. The inflation data from TD Securities also turned out to be negative. In February, prices fell by 0.1% MoM after rising by 0.3% MoM in January. Pressure on the instrument is provided by weak data from China, which continue to testify to the negative consequences of the spread of coronavirus in China and beyond. Caixin Manufacturing PMI in February fell sharply from 51.1 to 40.3 points, which was worse than market expectations of 45.7 points.

USD/JPY

USD is strengthening against JPY during today's Asian session, correcting after a sharp decline at the end of last trading week. The growth of USD is largely technical in nature, while the market still cannot decide on the safest assets amid the growing risks of the spread of coronavirus. Published macroeconomic statistics from the US and Japan last Friday turned out to be mixed, but Japanese data had a slightly greater effect. The statistics of the new week so far remain in the background. Japan's Manufacturing PMI from Jibun Bank in February rose from 47.6 to 47.8 points, which turned out to be better than neutral market forecasts. Capital Spending in Q4 2019 decreased by 3.5% QoQ after an increase of 7.1% QoQ in the previous period. Analysts had expected a positive trend to remain at 1.6% QoQ.

XAU/USD

Gold prices are recovering during today's Asian session, correcting after a sharp decline at the end of last week, when traders fixed long profits. Meanwhile, support for the instrument is still provided by the situation with the spread of coronavirus outside of China. Demand for safe assets is also supported by the expectation of new stimulus measures from leading financial regulators. Amid a sharp decline in the US stock market, US Fed Chairman Jerome Powell issued a statement calling the coronavirus a serious dynamic risk for the US economy, not excluding new support measures through interest rate cuts.

EUR/USD

EUR is correcting against USD during today's Asian session, falling after an 8-day rally, which brought EUR to new highs since the beginning of the year. The steady increase in EUR over the past two weeks was caused by the closure of part of the carry trade positions against the backdrop of increasing risks of the spread of the coronavirus epidemic. Now, under the threat of lower interest rates by global financial regulators, the focus of attention of European investors is changing significantly. The finance ministers and bank managers of the largest economies in the world (G7) agreed on readiness for the most decisive action to protect the global economy. After a telephone conversation, having held an emergency meeting, the Fed lowered the interest rate immediately by 0.50%, reducing speculation regarding the March meeting of the regulator to nothing. However, some analysts believe that at the scheduled meeting in March, the regulator can go for additional stimulation measures.

GBP/USD

GBP is trading near zero against USD during today's Asian session, awaiting the emergence of new drivers. GBP managed to recover slightly the day before, having received support from the sudden reduction in the interest rate by the Fed. However, the general negative sentiment regarding the situation with the coronavirus epidemic and the uncertain prospects of trade negotiations between the UK and the EU kept the currency near the lows of October 2019. In addition, after the Fed's action, investors expect similar actions from the Bank of England. Analysts estimate that the British regulator may reduce the interest rate by 0.25% at a meeting on March 26, and by the end of the calendar year may take another similar reduction.

NZD/USD

NZD shows ambiguous trading dynamics against USD during today's Asian session, trading near zero. The "bullish" impulse that has formed in the market after an unexpected decrease in the interest rate by the Fed is rapidly weakening, and investors expect similar actions from other regulators. The RBNZ will hold a meeting on the rate on March 25, and so far the risks of easing monetary policy are very high. New Zealand macroeconomic statistics released today do not strengthen the instrument. Building Permits in January decreased by 2% MoM after growth by 9.8% MoM in the previous month. Analysts had expected decline of 0.9% MoM. ANZ Commodity Price Index collapsed by 2.1% MoM in February after a decline of 0.9% MoM in January. Analysts had expected decrease of 0.8% MoM.

USD/JPY

USD is strengthening against JPY during today's Asian session, recovering from a sharp fall of the instrument yesterday, which took place against the background of a sudden decrease in the interest rate by the Fed immediately by 0.50%. USD is adding about 0.10%, testing the levels of 107.40-107.50 for a breakout. The reason for the emergence of positive dynamics was the technical factors of correction of short profit, as investors are still worried about uncertain prospects and show considerable caution. In addition, the market does not receive the most confident macroeconomic statistics. Jibun Bank Services PMI in Japan fell from 51 points to 47 points in February, which, however, was 0.3 points better than market expectations. Caixin Services PMI fell from 51.8 to 26.5 points over the same period.

XAU/USD

Gold prices rose sharply at yesterday's trading, completely leveling the negative dynamics of the instrument at the end of last trading week. A slight increase can be seen during today's Asian session; however, the "bullish" activity is noticeably reduced. The reason for the surge in purchasing activity for the instrument was a sudden decrease in the interest rate by the Fed after a conference of G7 finance ministers. The US regulator set a precedent, and now investors are even more nervous, expecting similar actions from other banks. The focus of investors today is a block of macroeconomic statistics from the US on business activity from ISM and Markit. In addition, closer to the end of the afternoon session, the Fed will publish its updated economic review, the so-called Beige Book.

EUR/USD

EUR is consolidating together with USD during today's Asian session. The instrument is trading near 1.2330, slightly departing from the local highs of August 2019, updated the day before. EUR is supported by alarming market sentiment due to the further spread of the coronavirus epidemic and the measures taken by the world's leading financial regulators to maintain economic growth. On Tuesday, the Fed sharply cut interest rates by 0.50%, setting an example to all other regulators who are just thinking about support measures. EUR was also supported by macroeconomic data from the US, released yesterday. Nonfarm Productivity in Q4 2019 slowed down from +1.4% QoQ to +1.2% QoQ, which turned out to be worse than neutral forecasts of investors. Factory Orders in January fell by 0.5% MoM after an increase of 1.9% MoM in December. Analysts had expected negative trend to appear, but counted on only –0.1% MoM decline.

GBP/USD

GBP shows a slight increase against USD during today's Asian session, trading near local highs of February 26, updated the day before. Moderate support for GBP is provided by weakening expectations of lower interest rates by the Bank of England. The new head of the British regulator, Andrew Bailey, who is due to take office March 16, said the Bank of England should not rush to cut rates after the Fed. First of all, according to Bailey, it is necessary to assess the risks of the spread of the virus and its economic consequences. Additional support for the instrument is provided by weak positions in USD, which turned out to be vulnerable after an unexpected decrease in the interest rate of the Fed on Tuesday. In turn, the growth of GBP above 1.3000 is hindered by the uncertain situation around the trade negotiations between the UK and the EU. Boris Johnson remains adamant and he declares his readiness to leave the negotiations without an agreement if the EU does not reduce its requirements.

AUD/USD

AUD is falling against USD during today's Asian session, developing a weak correctional impulse formed yesterday. Pressure on the instrument is exerted by weak macroeconomic statistics from Australia, as well as the general negative market background associated with the spread of coronavirus and the efforts of world regulators to minimize damage to the global economy. AiG Performance of Services Index in February fell from 47.4 to 47.0 points, which turned out to be worse than market expectations. Retail Sales in January fell by 0.3% MoM after a decline of 0.7% MoM in the previous month. Analysts had expected zero dynamics. On Friday, investors focus on the publication of the February report on the US labor market.

USD/JPY

USD continues to develop negative dynamics against JPY, updating record lows. The instrument is trying to consolidate below 105.90, a local low of September 2019. Demand for JPY again began to recover in the market after a sudden decrease in the interest rate by the Fed on Tuesday, which gave rise to a new wave of concern in the market regarding the further spread of the coronavirus epidemic. JPY is also supported by Friday's macroeconomic data from Japan. Labor Cash Earnings in January increased by 1.5% YoY after a decrease of 0.2% YoY last month. Analysts expected growth by 1.3% YoY. Overall Household Spending in January remained negative, but the indicator increased slightly compared to the previous month: –3.9% YoY against –4.8% YoY.

XAU/USD

Gold prices show growth during today's Asian session, continuing the development of the "bullish" momentum formed on Tuesday. Yesterday, the quotes rose by more than 1%, as investors continued to avoid risky transactions amid the spread of the coronavirus epidemic outside of China. Investors were particularly worried about the outbreak in the United States, as a result of which the authorities in California were forced to declare a state of emergency, and the Fed unexpectedly lowered interest rates by 0.50% on Tuesday, trying to minimize the negative consequences for American business.

EUR/USD

EUR is growing against USD during today's Asian session, correcting after sharp fall the day before. Moderate support for EUR is provided by data from the euro area released on Tuesday. Employment Change in Q4 2019 increased by 1.1% YoY, maintaining the same pace despite forecasts of a slowdown to 1.0% YoY. In quarterly terms, employment accelerated from 0.2% QoQ to 0.3% QoQ, which met market expectations. Eurozone GDP in Q4 2019 increased by 0.1% QoQ and 1.0% YoY, slightly ahead of its preliminary estimates (0.1% QoQ and 0.9% YoY). The focus of European investors remains on the ECB meeting on interest rates on Thursday. It is expected that the European regulator can follow the example of the Fed and will consider the possibility of easing monetary policy in the region. However, the ECB has not so many opportunities in this regard. The interest rate remains at zero level, and the deposit rate remains at –0.5% per annum.

GBP/USD

GBP is showing moderate growth against USD during today's Asian session, recovering after sharp fall the day before. Amid some panic in the market due to collapsed oil prices, USD received a powerful impetus for growth on Tuesday and rose significantly against almost all its major competitors. Today corrective sentiment reigns supreme, and investors expect new growth drivers. Traders are focused on macroeconomic statistics from the UK on the dynamics of Industrial Production and GDP growth in January. The US will publish statistics on Consumer Inflation. It is expected that amid the slowdown in global economic growth in February, Consumer Inflation in the US may decline from 2.5% YoY to 2.2% YoY.

AUD/USD

AUD is showing moderate growth against USD during today's Asian session, correcting after a collapse the day before. The instrument adds about 0.20% and tests the level of 0.6500–0.6510 for a breakout. Some support for AUD is provided by macroeconomic statistics from Australia. Home Loans in January grew by 3.1% MoM after growth of 3.5% MoM in December. Analysts had expected a sharp decline in the growth rate of the indicator to 0.5% MoM. Investment Lending for Homes in January also increased from 2.8% MoM to 3.6% MoM. Only Westpac Consumer Confidence Index was disappointing: in March, the indicator decreased by 3.8% MoM after a steady growth of 2.3% MoM in February. Analysts had expected negative trend to appear, but counted on only 0.4% MoM decline.

USD/JPY

USD is falling against JPY during today's Asian session, retreating from local highs, updated the day before. On Tuesday, USD showed strong growth across the entire spectrum of the market, supported by rising fears amid collapse in oil prices. Meanwhile, USD is under pressure due to the possibility of a further reduction in the interest rate by the Fed. Many analysts believe that the US regulator may go for an additional reduction of 0.50% by the end of March, which will contribute to a noticeable outflow of USD buyers. During the day, investors expect the publication of statistics from the US on consumer inflation. Forecasts suggest a slight decline, but USD may partly ignore weak data, as rates and the coronavirus epidemic still dominate the minds of investors.

XAU/USD

Gold prices are recovering during today's Asian session, correcting after a sharp decline at the beginning of the week, when quotes retreated from their record highs since December 2012. The instrument adds about 0.77% and is actively testing the level of 1660.00 for a breakout. Hopes for new measures to support the global economy have a positive effect on the dynamics of USD. At the same time, investors remain wary of the uncertain situation with the coronavirus epidemic and the recent collapse in oil prices caused by the price war between Saudi Arabia and Russia. Finally, gold is supported by expectations of the next reduction in the interest rate by the Fed at the meeting on March 18.

EUR/USD

EUR is showing corrective growth against USD during today's Asian session, recovering from an active decline for three consecutive sessions, which allowed the instrument to retreat from the January 2019 highs. The growth of EUR is facilitated by the weakening of USD in the market after the speech of Donald Trump, which frankly disappointed investors. Trump announced a ban on entering the US from 26 eurozone countries for a month, and also allowed the introduction of additional tax and credit exemptions for small and medium-sized enterprises. However, investors have not heard anything about new measures to combat coronavirus, in particular regarding the development of a vaccine. Meanwhile, the ECB held a meeting on monetary policy on Thursday, at which the president of the regulator, Christine Lagarde, announced new measures to stimulate the economy. The Bank kept rates at the previous minimum levels and noted that it would increase the volume of additional net asset purchases by EUR 120B. In addition, Lagarde called on EU leaders to take the most decisive actions aimed at stabilizing the economic situation in the region, pointing out the high risks of delay.

GBP/USD

GBP is developing an active downtrend against USD in trading this week, updating the local lows of October 2019 closer to the end of the weekly session. GBP remains under pressure amid growing panic and market uncertainty. Earlier in the week the Bank of England quite unexpectedly decided to reduce the interest rate immediately by 0.50%, bringing it to the level of 0.25%. The regulator explained this decision by the desire to help a rapidly slowing economy amid the spread of the coronavirus epidemic and the introduction of new bans from various states. Additional pressure on the instrument was provided by macroeconomic statistics from the UK on the dynamics of industrial production and the growth rate of GDP in January. Investors are focused on the publication of the Bank of England Meeting Minutes, from which the markets will be able to learn about the updated forecasts of the regulator in the near future.

NZD/USD

NZD shows a slight increase during today's Asian session, correcting after an active decline the day before. The instrument adds about 25 points and is actively testing the level of 0.6150 for a breakout. The development of the uptrend in the pair proceeds against the background of a slight decrease in USD, which is undergoing sales after the speech of US President Donald Trump the day before. Investors were disappointed with Trump's statements, as they expected to hear about concrete steps to develop a vaccine and curb the spread of the disease within the country. Additional support for NZD on Friday is provided by published data on Business NZ PMI. In February, the indicator rose sharply from 49.6 to 53.2 points, significantly exceeding forecasts of growth to 50.3 points. At the same time, the Food Price Index for the same period slowed down from 2.1% MoM to 0.0% MoM, being worse than forecasts of 0.2% MoM.

USD/JPY

USD is strengthening against JPY during today's Asian session, continuing to develop an unsteady "bullish" momentum that formed the day before. The growth of the instrument is facilitated by technical factors, while USD remains vulnerable after Donald Trump's controversial speech the day before. In addition, markets were unsatisfied with the publication of statistics on industrial inflation in the US for February. Today’s Japanese statistics provides insignificant support for JPY. Tertiary Industry Index in January increased by 0.8% MoM after a decline of 0.3% MoM last month. Analysts had expected positive trend to emerge, but counted on 1.2% MoM growth.

XAU/USD

Gold prices show multidirectional dynamics during today's Asian session, consolidating after a sharp decline the day before, which was triggered by profit taking on the instrument and an increase in demand for USD as a safe haven currency. At the same time, investors were disappointed by Donald Trump's speech, in which he announced a ban on entry into the US from 26 European countries, but did not touch on the development of other measures to combat coronavirus. Meanwhile, disturbing news about the spread of the coronavirus epidemic provoked another panic sale on the stock market, which could push the leading financial regulators to new measures to support the economy.

EUR/USD

Today, during the Asian session, the EUR/USD pair is trading in different directions, consolidating near the level of 1.1180. Investors are concerned about the rapid development of the situation with coronavirus in the world and are looking for salvation in shelter assets, which are becoming less and less. Yesterday, the main news came from the United States: the Fed announced a sudden rate cut to almost zero. However, a sharp decline in USD did not follow, it was able to quickly recover and move into the green zone. The single currency closed Monday trading with a slight decrease, which, among other things, was due to the publication of poor macroeconomic statistics on consumer inflation in Italy. Investors also focused on a sharp decline in February industrial production by 13.5% YoY in China. During the day, traders expect the publication of data on business sentiment in the EU and Germany from ZEW, as well as statistics on production volumes in the construction sector in January. Europe also plans to hold a meeting of the Council of Ministers of Finance and Economics, which will discuss additional measures to support the region's economy in the context of the further spread of the epidemic.

GBP/USD

Today, during the Asian session, the GBP/USD pair is trading in a downward direction, continuing the development of a “bearish” trend since March 9, which led to the renewing of local lows from October 2019. New measures to support the economy, which the Fed announced the day before, had virtually no effect on the active growth of USD across the entire spectrum of the market. This was especially noticeable in the dynamics of the pound against the dollar since the British currency in the current realities is far from the concept of a “shelter asset”. Also, after the Fed’s decision, investors expect the Bank of England to take additional measures to support the economy at its next meeting on March 26. The focus of investors on Tuesday is the publication of information on the UK labor market for January-February of this year.

AUD/USD

Today, during the Asian session, the AUD/USD pair is growing slightly, retreating from record lows of the end of 2008, renewed the day before. Now, the instrument has added insignificant 0.07% and is trying to consolidate above the levels of 0.6100–0.6110. The price is under pressure amid the coronavirus pandemic, which is forcing the world's leading central banks to resort to the most decisive measures to support the global economy. The weakening of the Australian currency on Monday was also due to the disappointing data from China. February industrial production decreased by 13.5% YoY after an increase by 6.9% YoY in January. Retail sales for the same period fell by 20.5% YoY after rising by 8% YoY at the beginning of the year. On Tuesday, slight support for the instrument is provided by data from Australia on the dynamics of housing prices. In the fourth quarter, prices rose by 3.9% QoQ and 2.5% YoY, which was noticeably better than the data for the previous period +2.4% QoQ and –3.7% YoY.

USD/JPY

Today, during the Asian session, the USD/JPY pair is growing, compensating for the decline the day before, when the yen still got a chance to strengthen after a sharp decrease in the Fed’s interest rate. The Bank of Japan, in turn, left rates at the previous lows, however, noted that it would increase the quantitative easing program and also develop a new corporate lending scheme that should support economic activity in the country. On Tuesday, JPY was slightly supported by macroeconomic statistics from Japan. Thus, industrial production in January increased by 1% MoM after an increase by 0.8% MoM over the past month. In annual terms, production slowed down its decline from –2.5% YoY to –2.3% YoY. The capacity utilization rate for January increased by 1.1% MoM after a decline by 0.4% MoM for December.

XAU/USD

Today, during the Asian session, gold prices remain under pressure and are testing for a downward breakdown of the level of 1500.00. The instrument continues to develop a confident “bearish” trend, which led to the renewing of record lows on Monday. Although at the beginning of the new week at Forex, the Fed announced a sudden decrease in the interest rate to almost lows, investors actively sold the precious metal, compensating for their losses in other assets. Meanwhile, US bond yields continued to decline steadily. Collapses were also recorded on stock and commodity platforms. Macroeconomic statistics published yesterday was poor. Investors were disappointed by the Chinese record decline in February industrial production by 13.5% YoY. The index of business activity in the manufacturing sector of the Federal Reserve Bank of New York in March fell from 12.9 to –21.5 points against the forecast of a decrease to only 4 points.

EUR/USD

Today, during the Asian session, the EUR/USD pair is falling, continuing to develop a downtrend, which leads to the renewing of local minimums on the instrument since February 21. Now, the European currency has lost about 0.16%, testing the level of 1.0900 for a breakdown. The instrument remains under pressure amid the ongoing collapse in the stock markets and the growth of panic sentiment that is pushing investors to buy USD. Yesterday, European stock exchanges recorded the strongest decline in the last 7 years. Traders are also shocked by the price of oil, which fell to $20 per barrel (WTI Crude Oil). Yesterday’s macroeconomic statistics on consumer inflation in the EU met the forecasts but failed to provide significant support to the euro. The consumer price index in March rose by 0.2% MoM after a decline by 1% MoM in January. Annual inflation growth rates remained at the previous level of +1.2% YoY.

GBP/USD

The GBP/USD pair continues to renew record lows amid a sharp decline since March 10. Today, during the Asian session, the instrument tries to consolidate below 1.1500, the lowest level since 1985. Investors are actively buying up dollars in the market, fearing a negative scenario for the development of the coronavirus epidemic. Also, the UK, unlike many other countries, delayed the introduction of strict quarantine, and now investors fear that with an outbreak of illness, the health system may not be able to cope with the flow of patients.

AUD/USD

Today, during the Asian session, the AUD/USD pair is actively declining, renewing record multi-year lows against the ongoing rally of the US dollar. Panic in the market, as well as the sharp collapse of stock exchanges, are pushing investors to buy US currency, which currently serves as one of the main sources of liquidity in the market. Also to the situation with the coronavirus epidemic, the RBA decision on the interest rate is in the spotlight on Thursday. As many expected, the Australian regulator took additional measures to support the economy and lowered the interest rate by 25 basis points to 0.25%. At the same time, the published Australian labor market report for February added some optimism to the markets. So, the level of employment in February rose sharply by 26.7K jobs after rising by 12.9K last month. Analysts had expected an increase of only 10K. The unemployment rate in February unexpectedly dropped from 5.3% to 5.1% with a constant forecast.

USD/JPY

Today, during the Asian session, the USD/JPY pair is growing, renewing local highs since February 28. Amid a sharply negative picture in the stock markets and the difficult epidemiological situation in the world, investors are inclined to buy the dollar as a source of liquidity. Demand for the yen as a shelter asset remains quite low, although it allows its dynamics to be relatively calm. Additional pressure on the position of the Japanese currency has published poor macroeconomic statistics from Japan. Thus, according to the results of February, CPI slowed down from +0.7% YoY to +0.4% YoY against the forecast of growth to +0.8% YoY. However, the activity index in all sectors of Japan at the beginning of the year steadily increased by 0.8% MoM, which was significantly better than market expectations +0.2% MoM.

XAU/USD

Today, during the Asian session, gold prices show a negative trend, however, they make no attempt to consolidate below local lows since November 2019, renewed at the beginning of the week. Investors prefer the American currency to the precious metal, fearing that measures taken by the world Central Bank will be insufficient to curb negative trends. The US cannot yet calm the markets, which reflected in the sharp collapse of stock exchanges the day before. The Fed has promised to restore its mechanism for issuing loans directly to companies and households, which it has used during the 2008 financial crisis.

EUR/USD

EUR shows strong growth during today's Asian session, continuing the development of a weak correction, which gradually comes to the market after the rally of USD. Last week, due to a sharp collapse in the quotes of risky assets in the market, EUR updated its record lows since April 2017. Despite the fact that coronavirus remains one of the main topics in the current market, investor sentiment is gradually improving. The active measures that global regulators are taking seem to have taken, if not economic, then psychological action. Macroeconomic statistics published on Friday again turned out to be rather depressing, but did not have a noticeable effect on the market. German Producer Price Index in February fell by 0.4% MoM after rising by 0.8% MoM in the previous month. Analysts had expected decline by 0.1% MoM. The euro area's Current Account n.s.a. collapsed from EUR 51.2B to 8.7B in January, while forecasts suggested a decrease of only EUR 20.5B.

GBP/USD

GBP is showing uncertain growth against USD during today's Asian session, trying to win back losses at the opening. The recovery of the instrument proceeds against the background of the growth of corrective sentiment in the market, as investors calmed down after the active support measures undertaken by the leading regulators of the world. Last Thursday, the Bank of England lowered rates to a record level of 0.1% and significantly expanded its quantitative easing program in an effort to minimize the damage from the coronavirus crisis. It is not yet clear how exactly these measures will affect the UK economy, but the markets still got the main signal – politicians and economists are ready to undertake emergency measures to deal with the crisis. Last Friday's macroeconomic statistics from the UK was ambiguous. The UK Public Sector Net Borrowing reflected a sharp increase from GBP –12.433B to –0.394B. However, the figure turned out better than the forecast of +0.85B pounds.

AUD/USD

AUD is falling against USD during today's Asian session; however, it shows a tendency to corrective growth against the background of some stabilization of the situation in the foreign exchange markets. The active measures that global regulators are taking to curb negative trends in the economy seem to be gradually bearing fruit. A quantitative increase in indicators is out of the question, but moral support is undoubtedly being formed. In addition, investors are very optimistic about the experience of China in the fight against coronavirus. Last Friday, the People’s Bank of China kept its key rate at 4.05%, and economic activity in the country is gradually recovering, which also gives hope for a favorable outcome of the coronavirus crisis outside the PRC. Only a few publications from the USA are in the spotlight today, and interesting statistics from Australia will appear on Tuesday when business activity data from Commonwealth Bank is published.

USD/JPY

USD is falling against JPY during today's Asian session, retreating from local highs, updated last week. The instrument loses about 0.7%, testing the level of 110.00 for a breakdown. The growth of correctional dynamics is facilitated by a slight improvement in market sentiment. Active support of the global economy by leading financial regulators had a calming effect on investors, while previous negative assessments of the coronavirus epidemic did not change significantly. In addition, investors still use JPY as a safe haven asset, although USD looks a bit more attractive during a major crisis.

XAU/USD

Gold prices are falling again during today's Asian session, correcting after moderate growth at the end of last week, caused by further purchase of safe haven assets amid concerns about the economic consequences of coronavirus. Demand for gold remains quite low, as investors seek to seize the source of increased liquidity in the market by actively buying USD. However, against the background of a slight improvement in the situation and measures taken by leading regulators, the demand for liquidity is somewhat reduced and gold in this case looks like a very attractive investment.

EUR/USD

EUR again shows active growth during today's Asian session, continuing the development of the "bullish" impulse that formed at the beginning of this week. USD has come under pressure amid unprecedented economic support measures taken by the Fed over the past few days. On Monday, the regulator announced an unlimited quantitative easing program, as well as new lending programs for small and medium-sized businesses. The EU, in turn, will suspend one of its fundamental documents, which imposes a restriction on the size of the budget deficit and public debt for EU members. The macroeconomic statistics from the euro area published on Tuesday was quite weak. Composite Manufacturing PMI of the euro area in March fell from 51.6 to 31.4 points against the forecast of 38.8 points.

GBP/USD

GBP is strengthening against USD during today's Asian session, updating local highs of March 20. Support for the "bullish" sentiment is still provided by the weakening USD against the backdrop of the announcement of new measures to support the US economy. At the same time, the liquidity crisis in the market continues to provide significant support to USD, and the overall risk demand remains rather weak. Macroeconomic statistics from the UK released on Tuesday turned out to be ambiguous, but did not have a noticeable effect on the dynamics of the instrument. Markit Services PMI in March fell from 53.2 to 35.7 points against the forecast of a decrease to 45 points. At the same time, Manufacturing PMI over the same period decreased from 51.7 to 48 points, which turned out to be better than market expectations of 45 points.

NZD/USD

NZD is showing moderate growth against USD during today's Asian session, updating local highs of March 18. Active support for the instrument is still provided by the growth of correctional sentiments in USD against the background of the aggressive Fed policy aimed at helping the US economy. However, the general tension in the market associated with the risks of the further spread of the coronavirus pandemic remains, and investors are in no hurry to sell USD. Published on Wednesday, macroeconomic statistics from New Zealand slightly supported NZD. In February, export volumes grew by USD 4.92B, accelerating from the previous value of USD 4.689B. Imports for the same period slowed from USD 5.103B to USD 4.33B, which led to a slight increase in the trade surplus in February. In monthly terms, in February, the trade balance entered the green zone at USD 594M after a deficit of USD 414M in January.

USD/JPY

USD shows ambiguous dynamics against JPY, staying close to its monthly highs amid continued market anxiety about the prospects for the spread of the coronavirus pandemic and its negative consequences. USD somewhat staggered after the Fed representatives announced an unlimited program of quantitative easing and also promised to provide favorable lending programs for small and medium-sized businesses in the United States. However, the corrective sentiment on USD did not lead to a noticeable demand for the yen, which is considered a safe asset. The Bank of Japan is still lingering with new measures to support the economy, but its arsenal is not so large, since the annual asset purchase program for JPY 1T has been operating since 2013, and in 2016 the regulator increased its volume to JPY 6T. Earlier this month, the Bank of Japan announced the possibility of temporarily doubling the quantitative easing program, but there are still doubts in the market regarding the regulator’s readiness to take such a step.

XAU/USD

Gold prices are falling during today's Asian session, correcting after strong growth for two consecutive sessions, which led to the renewal of local highs of March 12. Negative trend emerged due to fixing of long positions in gold, while the fundamental picture on the market is not changing much. The increased interest in the asset is associated with unprecedented measures taken by the Fed in an attempt to support the slowing US economy amid the threats posed by the coronavirus pandemic.

EUR/USD

EUR is trading up against USD during today's Asian session, updating local highs of March 17. The instrument is supported by the growth of correctional sentiments in USD, which intensified with the adoption of unprecedented incentives for the US economy. Analysts reckon that approved bills will significantly limit the economic damage from the spread of the coronavirus epidemic. Meanwhile, data from the US labor market, released on Thursday, pointed at rapidly growing risks. Initial Jobless Claims for the week ending March 20 sharply increased from 282K to 3283K, which significantly exceeded expectations of 1000K.

GBP/USD

GBP is growing against USD at the end of the trading week and can complete it with steady growth at the highs since March 16. This week’s growth is facilitated by a decline in USD, as well as a slight improvement in investor sentiment in response to the approved stimulus package in the US, which is expected to minimize damage from a slowing economy. Yesterday, investors were focused on a meeting of the Bank of England on monetary policy. As expected, this time the British regulator decided not to rush to introduce new measures to support the economy, especially since the rate is already at record low level of 0.1%. The Bank also maintained a quantitative easing program at GBP 645B. Today, during the day, markets expect publication of data on Nationwide Housing Prices in the UK, as well as the release of the Bank of England Quarterly Bulletin for Q1 2020.

NZD/USD

NZD shows an uptrend against USD during today's Asian session, trying to consolidate above 0.6000, the highest level since March 17. Correction of USD across the entire spectrum of the market contributes to maintaining the "bullish" trend of the instrument, while there are not many fundamental reasons for the growth of NZD. The macroeconomic statistics from New Zealand published on Friday was weak. The ANZ Consumer Confidence in March showed a sharp decline from 122.1 to 106.3 points. Total Filled Jobs in February rose slightly from 2.2M to 2.21M, but analysts caution against premature conclusions, since it is obvious that the March figures will be much worse.

USD/JPY

USD is rapidly falling against JPY during today's Asian session, continuing to develop the "bearish" momentum that formed the day before. The instrument loses about 1%, testing the level of 108.20 for a breakdown. Demand for the yen is growing amid large-scale correction of USD across the entire spectrum of the market in response to new measures to support the US economy from the administration of Donald Trump and the Fed. Investors also win back macroeconomic statistics on the US labor market published on Thursday. Initial Jobless Claims for the week ending March 20 sharply increased from 282K to 3283K. This is not to say that the growth of the indicator was somewhat unexpected for the market, but the real results were closer to the upper threshold of expected values. In addition, this figure is not finalized, since many Americans simply could not complete the application on time due to long queues and congestion in Internet resources.

XAU/USD

Gold prices show a moderate decline during today's Asian session, retreating from local highs, updated the day before. The instrument loses about 0.28%, testing the level of 1620.00 for a breakdown. Gold is corrected after explosive growth at the beginning of the week, due to the return of investors after a period of sales. The panic in the market subsided slightly against the backdrop of the US government taking significant measures to support the economy, which pushed the market to diversify. Leading analytical companies noted the possibility of buying a precious metal. For example, Goldman Sachs analysts expect that in the next few months gold can reach 1800.00.