Serious statements made by US President Donald Trump regarding Syria and a chemical attack have not yet affected the financial markets, especially the pairs associated with the US dollar. Let me remind you that tonight, Trump said that the US will decide on the response to the alleged chemical attack in Syria within 48 hours, adding that it can not allow such atrocities to happen.
There are no market reactions yet, and in view of the lack of important fundamental statistics, the real aggression by the US against Syria will immediately be noticeable in quotations of the US dollar in relation to a number of risky assets.
Yesterday, a report came out that showed that the Conference Board's employment trends index continued to grow. According to the data, the February value of the index was 107.72 points against the initial value of 107.31 points. In comparison with the same period of the previous year, the index grew by 5.5%. As noted in the Conference Board, an upward trend indicates a further increase in employment. Let me remind you that last Friday, the Ministry of Labor reported an increase in jobs outside the US agriculture in March by only 103,000.
The speech of the representatives of the Federal Reserve failed to provide serious support to the US dollar. So, Robert Kaplan said that the US and China would benefit from some easing of rhetoric regarding trade, and therefore it is too early to assess the impact of the trade conflict on the economy.
Kaplan also noted that tough statements about foreign trade worsen the mood in business circles, but the basic scenario still envisages three Fed rate increases in 2018.
Already today, after yesterday's softening of the tone by the US, China's President Xi Jinping announced his intention to expand the access of foreign companies to the financial and manufacturing sector of the country. Jinping is ready to take such measures for the sake of further liberalization of the economy against the background of increased tensions in trade relations with the United States.
A number of statements made by the head of the ECB at the end of yesterday also left the market without attention.
Mario Draghi repeated his position on the patient and prudent policy of the ECB, which remains necessary.
As for the technical picture of the EUR / USD currency pair, the buyers broke above the upper limit of the descending channel and stopped in the resistance area of 1.2325, the breakthrough of which will lead to new weekly highs of 1.2360 and 1.2410.