June 1st, European session

At the auctions in Europe, the main currencies show multidirectional dynamics. Most currencies have gone from positive to negative. A reversal of the major pairs was expected, as since the opening of the Asian session, the yield on US bonds rose by 3%, to 1.63% per annum. As the yield grows, US10Y is risky in long positions in risky assets.

The Briton has lost all points after the release of statistics. The index of manufacturing activity in the manufacturing sector in the UK in May was 65.6 against the preliminary value of 66.1. In Germany and the eurozone, PMIs were higher, so the euro was supported by the rise in the EUR/GBP cross, and the pound fell 53 points to 1.4176. The euro rose against the pound from 0.8585 to 0.8624.

The manufacturing PMI of the euro zone for May was 63.1 against preliminary 62.8. Manufacturing PMI in Germany for May was 64.4 against a preliminary reading of 64.0.

When the US10Y yield broke through the 1.62% resistance, the dollar began to rise in price against all currencies, including gold. EUR / USD rate declined to 1.2213 from the previously reached maximum of 1.2241. The gold price fell $ 11.3 to $ 1905.

The euro is receiving support from the EUR / GBP ally, so it rebounds well after the decline in pairing with the dollar. The yield on US10Y recorded a false breakdown of the horizontal level of 1.62%, and therefore the market will remain highly volatile.

The general sentiment for the euro remains on continued growth. The faster the yield of US10Y decreases, the faster the euro will grow against the dollar

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