What has to be also mentioned is that the ADP non-farm employment change also pointed to a decrease by 693 thousand workers against an expected decrease of 495 thousand. This together with the negative readings of other macroeconomic data such as pending home sales, factory orders and the unemployment rate strongly points to the fact that the US economy is not only in a deep crisis, but also if quick and meaningful steps are not taken the crisis could decisively deepen. Investors attention was also pointed at Barack Obama’s relief plan which aims at saving or creating 3 million work places. Obama also mentioned that if not well dealt with the crisis can even cause unemployment rocket to double digits. All the above mentioned factors obviously did affect the EURUSD market which encountered a decrease at the beginning of the week, falling even to the level of 1.33, but grew in strength nearing the end. Investors should take into account the significant resistance level of 1.4718, which if broken can signal a significant growth even to the level of 1.50 in the short term.

Events on the EURUSD market affected the Polish Zloty which grew in strength against both the Euro and the US Dollar, which consecutively stand at the level of 4.01 and 2.96.

Omar Arnaout