The ECB joined the FED and raised key interest rates by 25 bps from 3.50% to 3.75% on Thursday meeting expectations. The Euro dropped below the 1.1000 mark for a short period following the decision before bouncing back.
In addition, the USD Dollar extended its decline while Gold remains firm as prices hover around $2050 per ounce. In the US stock market, indices continue to face selling pressure for the fourth day on renewed bank concerns.
The Dow shed 0.86%, and the Nasdaq slid 0.49% while the S&P500 retreated by 0.72% with the main earning release coming from Apple. The tech giant’s sales fell for the second quarter in a row, meanwhile, the company reported Q2 earnings that came out above expectations.
Apple shares were up 2.49% in extended trading hours.
Looking now at the key economic releases for today, the focus will be on the US Non-farm payrolls which are expected to have declined in April from 236K down to 181K only. In the meantime, the unemployment rate is due to rise from 3.5% up to 3.6% while average hourly earnings are likely to remain unchanged at 0.3%.
Below, we will be analyzing the latest price action developments in the major currency pairs alongside gold.