Important events today:

13:30 UTC – US: Labor Market.

There is a mixed backdrop for today. On the one hand, we can expect quotes to fall amid a decline in U.S. government bond yields. The yield on 2-year Treasury securities now stands at 3.8%, which is 1.45% below the Fed rate. In the past, this situation has signaled an impending reduction in Fed interest rates. In my opinion, the downtrend in the dollar basket index (USDX) has not yet ended and expectations of monetary policy easing by the Fed will encourage a new sell-off in the U.S. currency.

On the other hand, the growth of dollar liquidity surplus in the financial system will have a positive impact on the US stock market, with which the currency pair is historically strongly correlated. The liquidity surplus grew due to the U.S. Treasury, which spent $107.9 billion from its money-box last week. The Treasury still has $188 billion left, which should be enough by the end of the month and most likely will last till mid-summer.

Recommendations: flat 133.66 – 134.77.