The dollar’s rally lost momentum on Wednesday as economic data from the United States was disappointing for the most part. It allowed EUR/USD to carve out gains even as the eurozone had its own share of problems.
ADP employment grew by 189k in March on a seasonally adjusted basis. The increase was markedly below the predicted 227k the February’s increase by 214k. (Event A on the chart.)
Markit manufacturing PMI rose from 55.1 to 55.7 in March. The median analysts’ forecast was the same as the flash estimate — 55.3. (Event B on the chart.)
Meanwhile, ISM manufacturing PMI decreased from 52.9 to 51.5 in March, missing the analysts’ prediction of 52.9. (Event C on the chart.)
Construction spending fell 0.1% in February from January, matching forecasts exactly. The previous month’s reading was revised from -1.1% to -1.7%. (Event C on the chart.)
Crude oil inventories increased by 4.8 million barrels last week to yet another record. This is compared to the forecast of 4.2 million and the previous week’s growth of 8.2 million. Total motor gasoline inventories decreased by 4.3 million barrels but are well above the upper limit of the average range. (Event D on the chart.)
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