Impact High
Spain sold 2.54 billion euros of debt dated 2014 and 2022 on Thursday, above the target range of 1.5 to 2.5 billion euros for the auction.
The yield on the 10-year bonds increased to 5.74% from 5.403% at an auction in January. The yield on the 2-year government securities climbed to 3.46% from a prior 2.069% at an auction in March.
A reasonable set of results, which will go some way to allaying fears the domestic bid for Spanish bonds has dried up. That said, as evidenced by the accepted yield on the 10-year, this support does come at a price,' rate strategist at Rabobank Richard McGuire said.
USD
'Progress in the labor market is not quite as strong as people had hoped, but we are still on a recovery track here, U.S. unemployment claims come in higher than forecast
Impact Medium
The number of Americans claiming for unemployment benefits declined by 2,000 to 386,000 in the week ended April 14 from the week before, said the Department of Labor on Thursday.
'Progress in the labor market is not quite as strong as people had hoped, but we are still on a recovery track here,' said Scott Brown, chief economist at Raymond James & Associates Inc. in St. Petersburg, Florida.
In a separate report, the Bloomberg said its Consumer Comfort Index rose to minus 31.4 in the period ended April 15 from minus 32.8 the previous week.
'The uneven nature of the recovery will likely continue to restrain the type of improvement in consumer sentiment that one would traditionally observe at this point in the expansionary cycle,' said Joseph Brusuelas, a senior economist at Bloomberg LP in New York.
Industry outlook
On the occasion that 1.3206 (55 day ma) remains untouched, the outlook for EUR/USD is negative. The closest support is at 1.2995/1.3004, followed by 1.2974/54 and 1.2854, which should be reached in the near future.
Traders' sentiment
The gap between the share of bullish and bearish market participants has diminished to 6%, implying neutral sentiment on EUR/USD.
Long position opened
Investors should pay attention to the identified with the help of the standard pivot point method resistance zones, as they might be useful during intraday trading. The initial resistance level is at the level of 1.3178, whereas R2 and R3 are situated at 1.3219 and 1.3274, accordingly.
Short position opened
Major dealers are planning to partially close their short positions if the pair touches upon the first support level at 1.3082. However, if the bearish impetus proves to be strong enough, some of the positions could be squared off at S2 of 1.3027 and at S3 of 1.2986.
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