Greenback Rose, Awaiting NFP

Market Reviews

The greenback has reinforced, becoming the firmest currency. It was supported by the fact that the White House is preparing to announce tax bill and it might be approved without Democrats. The news has been already condemned and criticized by Fed officials, as it might harm labor market and economic growth. DOW, S&P 500 and NASDAQ kept growing. The Pound is the softest, Australian dollar recovered. Fed’s John Williams, Esther George and Patrick Harker acknowledged the need of moderate and careful rate hike in the short to medium term.

Today, the most awaited data is Non Farm Payrolls, which are expected to repeat this week’s positive figures. Namely, ADP indicated growth of 135 thousand in private job growth, employment component of ISM manufacturing lifted from 59.9 to 60.3, employment component of ISM non-manufacturing increased to 56.8. 4-week average of initial jobless claims grew 18 thousand to 268 thousand. Continuing claims closed near 1.94 million.

Japan labour cash earnings were up 0.9% yoy in August. Leading indicator surged to 106.8. German factory orders increased 3.6% mom. Swiss will publish foreign currency reserve and Canada will announce job data and Ivy PMI.