April 12th, European session

In trading in Europe, major currencies are trading in positive territory. The first line in terms of profitability is occupied by the British pound (+ 0.49%). It was strengthened by the news that shops, hairdressers and gyms were opened in England. Against this background, Brent crude rose 1.78% to $ 64.14 per barrel, while the Canadian could not get out of the minus.

The EUR/GBP cross was on the side of the British pound buyers. Most likely, the euro will remain under pressure against it due to restrictions in Germany, which were set until April 18. Merkel and the federal government are expected to announce tougher measures to be taken over the next few weeks to tackle the coronavirus. If Germany extends the lockdown, the pound will benefit from it.

Major currencies rise in price with rising yields on US bonds. The yield on 10-year bonds ranges from 1.64% to 1.676% per annum. For several weeks in a row, major currencies have been moving behind Treasury bonds. A close relationship with them remains, so further growth in yields will limit the fall in the US dollar. For the EUR/USD pair, resistance is at 1.1920. After it, the road will open to buyers at 1.1945.

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