During the daily press briefing of Andres Manuel Lopez Obrador, it was announced that Mexico will receive 1.4 million doses of the vaccine by the end of January. Is that optimistic enough for the peso?
The volatility for the USD is expected
The level of non-farm payrolls, also known as non-farm employment change or NFP will be out on June 7, at 15:30 MT time.
The indicator represents the change in the number of employed people during the previous month without farmers. Traders pay huge attention to it, as it makes the US dollar highly volatile after the release. Also, we recommend you not to underestimate the unemployment rate and the level of average hourly earnings. These indicators are released at the same time as the non-farm payrolls and they tend to affect the USD as well. Last time, the NFP outperformed the forecasts. It advanced by 263 thousand jobs (vs. 181 thousand expected). However, bulls could not hold their positions due to the lower-than-expected average hourly earnings (0.2% vs. 0.3%). This time the employment data may lead to a different outcome.
• If NFP is higher than the expectations, the USD will rise;
• If NFP is lower than the expectations, the USD will fall.
The European Central Bank will publish the monetary policy statement with the interest rate decision on January 21, at 14:45 MT time.
Joe Biden is going to unveil a Covid-19 relief package of about $2 trillion. After this announcement, the 10-year Treasury yield rose, adding support for the USD.
The US dollar’s weakness offered a boost to emerging-market currencies and oil.