The overall market sentiment is mixed as new virus cases continue rising throughout the world, but most economic indicators came out better than analysts expected. Let’s look at the main market movements.
Trade the USD on the increasing volatility
The level of Non-farm employment change, also known as Non-farm payrolls or NFP will be released on January 4, at 15:30 MT time.
The NFP is the measure of employed people. The job creation is considered as the leading indicator of consumer spending, which represents the economic activity of the country. Every month traders pay attention to this indicator due to its high importance.
Last time the indicator came out lower than expected. As a result, the US dollar weakened. However, this month can lead to a different outcome.
• If the NFP is higher than expected, the USD will rise.
• If the NFP is lower than expected, the USD will fall.
The market sentiment switched to risk-off after the Fed’s Powell statement. The USD edged higher, while risker assets started falling after reaching quite high levels. Let’s have a closer look.
The overall market sentiment is mixed as investors await the Federal Reserve’s statement today at the evening.
The US NFP will be published on August 7 at 15:30 MT time.
The market sentiment is indeed risk-on today. Stocks, riskier currencies and gold are rising amid the waning US dollar.
Follow the BOE monetary policy and rate statements on August 6 at 14:00 MT time…