EUR/USD: Lifting the lockdowns and the euro

Lifting the lockdowns is lifting the euro, Europe's largest countries have all reported significant improvements in COVID-19 statistics and are moving to reopen the economies, FXStreet’s analyst Yohay Elam briefs.

Key quotes

“Spain reported 288 deaths on Saturday, the lowest in over a month and active cases are dropping as well while Italy announced a three-pronged program starting from May 4. The country reported 260 mortalities on Sunday, the lowest since March 11.”

“In France, 242 losses of life were reported on Sunday, the lowest in more than a month. Meanwhile, Germany confirmed 110 deaths on Monday, the lowest since mid-March.”

“In the US, the spread of the virus is also slowing and several states are moving toward reopening as well, yet New York is set to remain under shelter-at-place orders through May 15. The relative optimism is weighing on the safe-haven dollar.”

“Another reason for the cheerful mood is the BoJ's announcement that it is lifting restrictions to buying bonds.”