In Asian trading on Monday the euro gained against the US dollar, rising 0.4 percent to $1.2438, the highest in a month, with investors showing renewed optimism after a non-farm payroll report that was surprisingly positive. Specifically, the report unveiled the biggest improvement in five months, though a further Fed stimulus may still be necessary in the coming months. The report boosted American and European equities and oil on Friday and extended the sentiment into the new week’s trading. Compounding the optimism was a positive sign out of Europe indicating that the ECB may be taking steps to inhibit Spanish borrowing costs in the near future. In the oil market, prices eased after Friday’s rally, with Brent oil dropping 0.2 percent to $108.63 per barrel, and crude futures dropping to $91.17 per barrel.
This week is poised to be slower than last as far as announcements are concerned, though investors will be waiting to hear how China expects to contribute to global economic recovery efforts. On Sunday the central bank of China committed to improving its credit and economic policies to help its own economy as well. Also on Sunday, Luis de Guindos, Spain’s economy minister that the country is patiently waiting to learn what is necessary to receive the necessary European rescue because the country has already covered most of its annual debt.