The DAX Index Is Rather Motionless
DAX is calm, having lifted 0.03% to trade at 13,194.00. German Manufacturing PMI indicated 61.1. The Eurozone Manufacturing PMI dropped to 59.6. Tomorrow, the Eurozone will feature Purchasing Price Index and the US will present Nonfarm Payrolls, which will be a significant market mover. Eurozone Consumer Price Index Estimate dropped to the half a year-minimum of 1.3%. Eurozone inflation remains at low levels, which favors the extension of ECB asset purchase program. Mario Draghi claims that it might be increased or extended even further.
The greenback has been slightly buoyed by yesterday’s Fed meeting and the following statement. As expected, the rate was maintained at 1.25-1.5%. The statement marked positive outlook of the employment growth, household spending and business fixed investment. Moreover, members was some improvement in inflation. March rate hike is now priced in 80% odds (up from yesterday’s 74%). Some analysts even price in 90% chance. The meeting also marked the last appearance of Janet Yellen as the Fed Chair, as starting from now, the position is taken over by Jerome Powell.