Earlier in the week, the euro happened to be under pressure. Although the ruling party in Spain has won elections, it will not be permitted to form the government on its own. The US GDP has grown above the forecasts, which surpassed the expectations of the experts.
In the morning on April 29, the EUR/USD rate was trading at 1.1157. The euro has been under pressure since the elections in Spain. The Spanish economy is still the fourth largest in the eurozone. The Spanish Socialist Workers' Party led by the-now Prime Minister Pedro Sánchez has won the parliamentary elections with 29% of the vote. It is not enough to form the government.
For the first time since the 1970s, the far-right party Vox has been elected to the Spanish Parliament. It will make the political in-fighting more unpredictable. The uncertainty over the formation of the government is adversely affecting the euro.
On Friday, April 29, the USA publicly reported the data on GDP growth in the first quarter of this year. The index grew by 3.2% YoY, which exceeded the expectations of analysts. With the rapid growth of the economy, the Federal Reserve rate is unlikely to decrease. It is strengthening the US dollar.