The volatility for the EUR/USD remains high with investors focused with the start of this new week on the ECB after the Feds pledged to maintain their loose monetary policy.
As it is the case always, the start of the week is always volatile with investors pricing their expectations for the news ahead and we have the ECB decision this week alongside the infamous jobs repot from the US.
The volatility will be high as investors assess the growth outlook for the global economy amid high inflation prices and unusual uncertainty which might temporally pressure the euro lower with the start of the week as investors take new positions preparing for the ECB rate decision.
On Thursday the ECB will keep rates steady after Aprilâ€™s hike but investors will be assessing Trichetâ€™s words for a signal on the coming move and that will keep the volatility seen for the pair.
As for Monday, the focus will be on the sentiment ahead of the key evens as aforesaid while the volatility and range trading might be extended with a number of European markets on Labor Day holiday.
The final PMI Manufacturing estimate for April is awaited at 07:55 GMT and expected unrevised at 61.7. From the Euro area the PMI Manufacturing is also expected unrevised for April at 57.7 due 08:00 GMT.
From the US we have construction spending for March at 14:00 GMT and expected with 0.3% rise following 1.4% drop. ISM Manufacturing is also due the same time for April and expected with a slight drop to 59.6 from 61.2.Â
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