Here is what you need to know on Tuesday, May 5: The market mood is cautiously optimistic as California announced it will be easing restrictions. The dollar is on the back foot, especially against commodity currencies, and oil is also advancing. A significant hint toward the Non-Farm Payrolls and lifting lockdowns are eyed. California leads the way: The western US state’s economy is as the size of France’s and it is governed by Gavin Newsom, a Democrat, providing hope for that other states will follow. New York is set to follow in mid-May amid improving COVID-19 statistics. Goldman Sachs and Morgan also contributed to the upbeat mood by saying that the global economy has likely bottomed. On the other hand, estimates from the Center for Disease Control show US deaths potentially doubling to 134,000 by early June, yet the White House disavowed the report. Senior doctor Anthony Fauci said there is no scientific evidence that the virus was made in a lab, allow politicians to alleviate tensions with China, a factor that previously weighed on markets. US Factory Orders dropped by over 10% in March, worse than expected, and the focus now shifts to the ISM Non-Manufacturing Purchasing Managers’ Index. The forward-looking survey’s headline and the employment component serves as a hint toward the Non-Farm Payrolls. See US ISM Non-Manufacturing PMI Preview: Will April’s statistics reignite the safety trade? European countries have been easing some of the restrictions amid improving illness statistics with Germany standing out in the past The EU pledged funds toward finding a vaccine for COVID-19 yet efforts to stimulate the economies via monetary policy come to a legal test. The German Constitutional Court will rule on the previous stimulus by the European Central Ban but will likely avoid rejecting it. Manufacturing PMIs for April have hit crisis or record lows UK: As Prime Minister Boris Johnson prepares to make a decision on the lockdown, the Treasury revealed that around a quarter of Britain’s workforce is now furloughed at a high cost. Conservatives are urging a return to normal while unions want to ensure workers are protected. The current restrictions expire on May 7, the same day as the Bank of England’s decision. Final UK Services PMI is of interest on Tuesday. The Reserve Bank of Australia left the interest rate unchanged at 0.25%, saying it has scaled down bond-buying activities. However, Governor Phillip Lowe and his colleagues said they could increase the QE program if needed, amid a gloomy outlook for the global economy. Australia and New Zealand have refrained from announcing a “safe travel zone” between the countries after holding a joint cabinet meeting. New Zealand reported no new cases for the second day in a row. Both currencies are on the rise. Gold continues clinging to $1,700, looking for a new direction ahead of the Non-Farm Payrolls. Cryptocurrencies have resumed their rises ahead of Bitcoin’s halving event, with the granddaddy of digital assets trading around $9,000. FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next Gold Futures: Further upside on the cards FX Street 3 years Here is what you need to know on Tuesday, May 5: The market mood is cautiously optimistic as California announced it will be easing restrictions. The dollar is on the back foot, especially against commodity currencies, and oil is also advancing. A significant hint toward the Non-Farm Payrolls and lifting lockdowns are eyed. California leads the way: The western US state's economy is as the size of France's and it is governed by Gavin Newsom, a Democrat, providing hope for that other states will follow. New York is set to follow in mid-May amid improving COVID-19 statistics. Goldman Sachs and… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk.4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk.5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.