America’s Roundup: Dollar hits four-month high after upbeat U.S. jobs data ,Wall Street slips ,Gold gains, , Oil falls 1%-February 8th,2020

Market Roundup

• U.S. non-farm payrolls rose by 225,000 jobs last month -data

• US Jan Average Hourly Earnings (YoY) (YoY)  3.1%, 3.0% forecast, 3.0%   previous

• US Jan Average Hourly Earnings (MoM) 0.2%,0.3% forecast, 0.1%  previous
    
• US Jan Participation Rate  63.4%,63.1% forecast, 63.2% previous    

• US Jan Private Nonfarm Payrolls  206K, 150K forecast, 142K previous

• US Jan Unemployment Rate  3.6%,3.5% forecast, 3.5% previous

• Canada Jan Employment Change  34.5K, 15.0K    forecast, -2.8K previous

• Canada Jan Participation Rate  65.4%,65.6% forecast, 65.5% previous

• Canada Jan Ivey PMI  57.3, 53.3 forecast, 51.9  previous

Looking Ahead - Economic Data (GMT)

•No economic data

Looking Ahead - Events, Other Releases (GMT)    

•No significant events

Currency Summaries

EUR/USD: The euro declined against the U.S. dollar on Friday, as dollar was boosted by a strong U.S. non-farm payrolls report that followed a spate of upbeat economic data this week. Data showed U.S. nonfarm payrolls increased by 225,000 jobs last month, with employment at construction sites increasing by the most in a year given milder-than-normal temperatures.   The euro was down 0.35 percent at $1.0943. Immediate resistance can be seen at 1.1023 (10 DMA), an upside break can trigger rise towards 1.1003 (5 DMA).On the downside, immediate support is seen at 1.0942 (Daily low), a break below could take the pair towards 1.0900 (Psychological level).

GBP/USD: Sterling declined against dollar on Friday, as stronger dollar and worries about negotiations between Britain and the European Union for a post-Brexit trade deal weighed on sterling. Investors are nervous that Johnson is taking a hard line in the trade talks with the EU, which need to be concluded before the end of the year to avoid a potentially disruptive break in trading relations. The pound was down  0.34 % at $1.2882, close to its lowest level in weeks. Immediate resistance can be seen at 1.2968 (5 DMA), an upside break can trigger rise towards 1.3058 (30 DMA).On the downside, immediate support is seen at 1.2876 (Lower BB), a break below could take the pair towards 1.2800 (Psychological level).

USD/CAD: The Canadian dollar fell to a two-and-a-half month low against the greenback on Friday as the coronavirus outbreak weighed on investor sentiment, offsetting reduced bets for a Bank of Canada interest rate cut after domestic data showed a solid jobs gain. At (2055 GMT), the Canadian dollar was trading 0.3% lower at 1.3301 to the greenback. For the week, the loonie was down 0.5% as investors worried that the slump in crude oil prices amid the coronavirus outbreak in China would weigh on Canada's commodity-linked economy. Immediate resistance can be seen at 1.3246 (Higher BB), an upside break can trigger rise towards 1.3400 (Psychological level).On the downside, immediate support is seen at 1.3285 (5 DMA), a break below could take the pair towards 1.3233 (11 DMA).

USD/JPY: The dollar edged lower against the Japanese yen on Friday, as growing concerns about the impact of the coronavirus on global growth overshadowed a strong U.S. jobs report. The better-than-expected U.S. labor report failed to move the market as typically occurs. Caution about the virus, which has inflicted 31,211 people and left 637 dead, dictated investor sentiment. The Japanese yen strengthened 0.23% versus the greenback at 109.75 per dollar. Strong resistance can be seen at 110.03 (Daily high), an upside break can trigger rise towards 110.48 (Higher BB).On the downside, immediate support is seen at 109.58 (5 DMA), a break below could take the pair towards 109.21 (11 DMA). 

Equities Recap

European shares retreated from record highs on Friday, as underwhelming earnings reports and concerns about the economic damage from the coronavirus outbreak halted a stellar run in stocks this week.

UK's benchmark FTSE 100 closed down by 0.51 percent, Germany's Dax ended down by 0.45 percent, France’s CAC finished the day down by 0.14 percent.

Wall Street pulled back from record levels on Friday, as investors assessed the U.S. employment report that showed jobs growth accelerated in January but included a downward revision to some previous numbers.

Dow Jones closed up by 0.94 percent, S&P 500 ended up by 0.54 percent, Nasdaq finished the down by 0.54 percent.

Treasuries Recap

U.S. Treasury yields declined on Friday as concerns about global growth and a growing coronavirus epidemic outweighed a strong U.S. jobs report.

The benchmark 10-year yield was down 5.9 basis points at 1.5852% in afternoon trading.

Commodities Recap

Gold prices rose on Friday as fears of an economic slowdown from the coronavirus outbreak and lower interest rates globally offset strong U.S. economic data.

Spot gold rose 0.3% to $1,570.52 per ounce by 1842 GMT, but was down about 1.2% this week. It was on track for the biggest weekly loss since early November.U.S. gold futures settled 0.2% up at $1,573.40.

Oil prices fell 1% on Friday as Russia said it needed more time before committing to output cuts sought by other large producers while the coronavirus outbreak fanned worries about global crude demand.

Brent crude   futures lost 46 cents, or 0.8%, to settle at $54.47 a barrel. Brent sank 6.3% for the week.

U.S. West Texas Intermediate (WTI) crude futures  CLc1 fell 63 cents, or 1.2%, to settle at $50.32 a barrel. The contract lost 2.4% for the week.