EUR/USD is under selling pressure, 1.2000 figure at risk

The EUR/USD pair reached 1.2112 but is quickly retreating, with the dollar once again founding demand amid higher government bond yields. Euro/dollar was last seen trading in the 1.2050 price zone, poised to extend its decline, FXStreet’s Chief Analyst Valeria Bednarik, briefs.

See: EUR/USD to strengthen with vaccine rollout in the second quarter – CIBC

Key quotes

“Markit published the February final Services PMIs for the euro area, which showed that output in the sector remained in contraction territory, declining for the sixth consecutive month. The German index was downwardly revised to 45.7, although the final EU figure printed at 45.7, slightly better than previously estimated.”

“The US has just published the ADP survey on private jobs creation. The report showed that 117K positions were added in February, below the expected 177K. January reading was upwardly revised to 195K from 174K. Markit will also publish the US Services PMI, foreseen at 58.9, while the country will release the official ISM services index, expected at 58.7.”

“Further declines are to be expected on a break below 1.2015, the immediate support.”