The euro managed to strengthen its positions against the US dollar after data that showed a surge in optimism among euro zone consumers, which is likely to lead to a sustained economic growth of the region in early 2018.
According to the report of the European Commission, the leading index of consumer sentiment in January this year rose to 1.3 points against 0.5 points in December 2017. Economists had expected the index to be just 0.6 points. The index of 1.3 points is the maximum of 2000.
Also yesterday, the economists of the International Monetary Fund increased their forecast for GDP growth of the eurozone to 2.2% against 1.9%.
Yesterday, it also became known that the US Senate approved the candidacy of Jerome Powell for the post of chairman of the Fed. The Senate voted by the number of votes of 85 against 12 for the candidacy of Powell. Let me remind you that Jerome Powell will replace Janet Yellen as head of the Federal Reserve in February this year.
As for the technical picture of the EUR/USD pair, yesterday's breakthrough of the large resistance level of 1.2300, which also acted as the upper boundary of the side channel, led to the resumption of demand for risky assets. The main task of euro buyers today is to hold this area, which will allow tomorrow, after the ECB president's speech, to count on continuing the upward trend, with the update of the new significant highs of 1.2390 and 1.2430.
Despite the weak data on the sharp decline in Japan's foreign trade surplus, the yen continued its growth against the US dollar.
According to the report, Japan's trade balance fell by 25%, to 2.991 trillion yen, as a result of rapid annual growth in imports. And this is despite the high record of exports to China and Asia. Compared to the same period of the previous year, exports increased by 9.3% in December 2017, while economists expected an increase in exports of 9.8%. The positive trade balance of Japan with the US increased by 3.1%, to 7.036 trillion yen.
The quotes of oil resumed their growth after yesterday's speech by Saudi Arabia's oil minister in Davos.
Khalid Bin Abdulaziz Al-Falih stated that OPEC is likely to continue to cut production after 2018, as the level of compliance with the agreements remains very high. Saudi Arabia's oil minister also noted that the market is large enough to satisfy the interests of all participants.