EUR/USD resumed its decline today following yesterday’s gains. The dollar gained on the euro as US employment exceeded analysts’ expectations. The greenback retained strength even after the disappointing report about the service sector.
ADP employment demonstrated growth by 230k in October compared to analysts’ projections of 214k. The previous month’s increase was revised from 213k to 225k. (Event A on the chart.)
ISM services PMI fell from 58.6% in September to 57.1% in October, frustrating those market participants who counted on just a minor decrease to 58.2%. (Event B on the chart.)
Crude oil inventories increased by 0.5 million barrels last week and are in the upper half of the average range for this time of year. The increase was more than three times below the median forecast of 1.8 million and the previous week’s value of 2.1 million. Total motor gasoline inventories decreased by 1.4 million barrels and are below the lower limit of the average range. (Event C on the chart.)
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