The Reserve Bank of Australia (RBA) will release its interest rates and make a statement on August 2, 7:30 GMT+3.
The NFP Release: One More Punch for USD?
What will happen?
The United States Bureau of Labor Statistics will release monthly average hourly earnings, non-farm employment change (NFP), and unemployment rate on August 5, 15:30 GMT+3. It’s the primary indicator of economic health.
What does it mean for traders?
All three readings are worth attention because they’re released monthly and therefore reflect the current state of the economy. The markets often react to the release, making it a good chance to catch a price swing.
In June, analysts expected the reading to be relatively low, but the actual data outperformed expectations (372K vs. 260K forecast). Gold was volatile and made a plunge of 1700-point right after the release. If you caught the moment and traded one lot, your potential profit could have been $1700.
How to trade on the US NFP release?
- Higher-than-expected numbers are usually positive for USD and negative for gold (XAUUSD).
- If the actual NFP data exceeds expectations, XAU will fall.
- Otherwise, it rises.
Check the Economic Calendar.
Instruments to trade: XAUUSD, EURUSD, USDCAD.
The Federal Open Market Committee (FOMC) will update the Federal Funds Rate and make a statement about future monetary policy on July 27 at 21:00 MT.
The Australian Bureau of Statistics will announce the Consumer Price Index (CPI) on Wednesday, July 27, at 04:30 MT.
A new week means new trading opportunities! Here are some events that can fluctuate the market actively…
The United States will publish the Inflation Rate and Core Inflation Rate, also known as US CPI and Core CPI, on August 10 at 15:30 GMT+3.
The Bank of England (BoE) will share its Official Bank Rate and make a statement on monetary policy on August 4, 14:00 GMT+3.