Markets Expect Data on US Labor Market
The US will publish data on the labor market today. The report on employment in the US is regarded as the most important economic report every month, which can significantly affect state of the markets. Given that extremely weak data on employment for September were due to the influence of the hurricane season, it is justified to expect the situation to improve in October. Analysts forecast that 312.000 jobs were created last month.
Markets also expect data on the UK Services PMI. The service sector is an important part of the UK economy, accounting for more than three quarters of total production, and therefore the pound may be vulnerable to further decline today in the case of weaker PMI data. Yesterday, the British currency fell more than 1% against the US dollar after the Bank of England raised the key interest rate to 0.5%.