During the daily press briefing of Andres Manuel Lopez Obrador, it was announced that Mexico will receive 1.4 million doses of the vaccine by the end of January. Is that optimistic enough for the peso?
The USD is awaiting the flash manufacturing PMI
The United States will publish its flash manufacturing PMI at 16:45 MT time on February 21.
Instruments to trade: EUR/USD, USD/JPY, GBP/USD
This indicator reflects the economic situation of a country. While it’s just a survey of purchasing managers in the manufacturing industry, their answers tend to show the overall views on the current business conditions within a country. If the indicator is above 50, it demonstrates the expansion of an industry, while an indicator below 50 signals a contraction. Last time an indicator came out at a lower-than-expected level. As a result, the USD fell. What awaits the currency this time?
• If the actual level of indicator is higher than the forecasts, the USD will go up;
• If the actual level of indicator is lower than the forecasts, the USD will go down.
S&P 500 skyrocketed to the all-time high on optimism that Biden’s fiscal stimulus will support economic growth and boost corporate earnings.
PMI reports from the EU, the UK, and the USA will be released during the day!
The European Central Bank will publish the monetary policy statement with the interest rate decision on January 21, at 14:45 MT time.