Global risk sentiment was the name of the game for the euro and franc this week, prompting an early rise against the risk currencies on crashing oil prices, then reversing later as oil rebounded.
Updates on European business and consumer sentiment were historically bad as well, likely contributing to what was a net negative week for both currencies.
The Euro
European Headlines and Economic data
Monday:
Spain seeks 1.5 trillion euro recovery fund using EU perpetual debt
Euro zone trade surplus grows, with decline in China imports
German Producer prices in March 2020: -0.8% on March 2019
Euro area international trade in goods surplus €23.0 bn; €22.4 bn surplus for EU
Global risk aversion sentiment dominates the markets, sparked by the historic crash in oil, to give the euro a net positive start to the week as rallied hard against the comdolls and Sterling.
Tuesday:
German investors see light at end of ‘very long tunnel’ – ZEW
Wednesday:
ECB’s Rehn calls for solidarity between European countries
Euro zone consumer confidence falls to -22.7 in April
Taoiseach Leo Varadkar confirms he will release step-by-step plan for reopening Ireland
Thursday:
EU eyes $2.2 trillion plan as ECB accepts some junk-rated bonds
Germany’s consumer sentiment hits all-time low
IHS Markit Flash Eurozone PMI: Unprecedented collapse of Eurozone economy amid virus lockdown
COVID-19 lockdown leads to record contraction in German economy
IHS Markit Flash France PMI: Activity decline deepens amid ongoing coronavirus shutdowns
Friday:
Germany’s Ifo index plunge to historic low
Britain running down the clock in Brexit talks, says Michel Barnier
The Swiss Franc
Swiss Headlines and Economic data
Monday:
SNB scaled back FX intervention as coronavirus fears ebbed, data suggest
Tuesday:
Wednesday:
Coronavirus crisis could push Swiss budget deficit to 6% of GDP
Thursday:
Along with the disappointing round of PMI data, risk sentiment likely played a role in the negative turn for both the euro and franc during the Thursday trading session, sparked by oil’s bounced higher from record low levels and more stimulus coming in the U.S. (Fed Focuses on Lending Programs, U.S. House to pass nearly $500 billion more in coronavirus relief)
