April 29th, European session

At the auctions in Europe, major currencies are trading in positive territory. The Japanese yen remained in the red (-0.38%). The euro recovered to 1.2136. Market response to Q1 US GDP was also weak. Maybe because of incentives, they do not pay attention to the growth of the indicator, or because of the growing yield of US Treasury bonds.

The real gross domestic product (GDP) of the United States in the first quarter of 2021 grew by 6.4% per year. This value followed 4.3% growth in the fourth quarter and came out slightly better than market expectations of 6.1%.

Strengthening of major currencies is constrained by the 10-year bond yield of 1.679% (1.69% resistance). Yields rise when bonds are actively sold. If the US10Y runs into resistance, the euro can once again go down to the level of 1.2140.

Futures on the S & P500 is trading in positive territory, but it is not a fact that the growth in it will continue after the market opens.

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