Market Roundup
•German Aug Current Account Balance n.s.a 17.6B previous
•German Aug Imports (MoM) 3.5%,1.8% forecast, -3.8% previous
•German Aug Trade Balance 13.0B,15.8B forecast, 17.9B previous
•German Aug Exports (MoM) -1.2%,0.5% forecast, 0.5% previous
Looking Ahead Economic Data (GMT)
•12:30 Canada Sep Part Time Employment Change 21.7K previous
•12:30 Canada Sep Full Employment Change 68.5K previous
•12:30 US Sep Average Hourly Earnings (MoM) 0.4% forecast, 0.6% previous
•12:30 US Sep Private Nonfarm Payrolls 455K forecast, 243K previous
•12:30 US Sep Nonfarm Payrolls 500K forecast, 235K previous
•12:30 US Sep Manufacturing Payrolls 25K forecast, 37K previous
•Canada Sep Unemployment Rate 6.9% forecast, 7.1% previous
•12:30 US Sep Participation Rate 65.1% previous
•12:30 US Average Weekly Hours 34.7 forecast, 34.7 previous
•12:30 US Sep Unemployment Rate 5.1% forecast, 5.2% previous
•12:30 US Sep Average Hourly Earnings (YoY) (YoY) 4.6% forecast, 4.3% previous
•12:30 US Sep Participation Rate 61.7% previous
•12:30 Canada Sep Employment Change 65.0K forecast, 90.2K previous
•12:30 US Sep Building Permits (MoM) 5.6% previous
•14:00 US Aug Wholesale Trade Sales (MoM) 1.0% forecast, 2.0% previous
•14:00 US Wholesale Inventories (MoM) 1.2% previous
•17:00 U.S. Baker Hughes Oil Rig Count 421 previous
•17:00 U.S. Baker Hughes Total Rig Count 521 previous
Looking Ahead - Events, Other Releases (GMT)
•No significant events
Fxbeat
EUR/USD: The euro consolidated around 1.559 against dollar on Friday as investors were cautious ahead of a U.S. non-farm payrolls report considered key to the U.S. Federal Reserve's stimulus taper schedule. U.S. non-farm payrolls data is expected to show continued improvement in the labour market, with a forecast for 500,000 jobs added in September. A survey predicted non-farm payrolls were likely to have risen by 500,000 jobs in September. Fed Chair Jerome Powell has said it would take one more decent jobs report to set the process in motion for a reduction in U.S. central bank’s $120 billion in monthly bond purchases. Immediate resistance can be seen at 1.1571 (50%fib), an upside break can trigger rise towards 1.1606(61.8%fib).On the downside, immediate support is seen at 1.1540(38.2%fib), a break below could take the pair towards 1.1499 (23.6%fib).
GBP/USD: Sterling steadied against dollar on Friday as expectations of interest rates hike offset worries about a fuel crisis and a post-Brexit labour shortage in Britain.In September, sterling hit a two-month low versus the euro and erased all of its strong gains versus the dollar for 2021 as Britain’s supply chains were strained to breaking point by shortages of workers.But rising expectations the Bank of England may act sooner to tackle inflation have supported sterling this week. Immediate resistance can be seen at 1.3637(50%fib),an upside break can trigger rise towards 1.3709(61.8%fib).On the downside, immediate support is seen at 1.3567(38.2%fib), a break below could take the pair towards 1.3485(23.6%fib).
USD/CHF: The dollar strengthened against Swiss franc on Friday as traders awaited clues on the pace of Federal Reserve policy normalization from a monthly payrolls report. The euro consolidated around $1.1550, Friday's non-farm payrolls data is expected to show continued improvement in the labour market, with a consensus forecast for 500,000 jobs added in September, although estimates ranged from 250,000 to 700,000.The U.S. dollar currency Index , which measures the greenback against a basket of six peers, rose 0.1% to 94.278, keeping within sight of last week's one-year peak of 94.504. Immediate resistance can be seen at 0.9303 (38.2% fib), an upside break can trigger rise towards 0.9342 (Higher BB).On the downside, immediate support is seen at 0.9273(5DMA), a break below could take the pair towards 0.9256(50%fib).
USD/JPY: The dollar steadied against yen on Friday as greenback strength ahead of U.S. payrolls data. U.S. jobs data, set to be issued at 1230 GMT, is expected to show a surge in hiring in September as the effects of the latest COVID-19 surge began to subside. While strong numbers could cement the case for the U.S. Federal Reserve's withdrawal of its support for the economy, many analysts expect that even a second straight weak employment report would be unlikely to derail the central bank from announcing a slowdown of its bond purchases later this year. The dollar gained 0.25% to 111.19 yen. Strong resistance can be seen at 111.77(23.6%fib), an upside break can trigger rise towards 112.00(Psychological level).On the downside, immediate support is seen at 111.51(38.2%fib), a break below could take the pair towards 111.32(11DMA).
Equities Recap
European stocks edged lower on Friday as declines in the technology sector more than offset gains in oil and auto shares, while investors remained cautious ahead of U.S. payrolls data.
At (GMT 11:31 ),UK's benchmark FTSE 100 was last trading up at 0.06 percent, Germany's Dax was down by 0.10 percent, France’s CAC was last down by 0.30 percent.
Commodities Recap
Gold was little changed on Friday as investors stayed on the sidelines awaiting the confirmation of a strengthening U.S. labour market that could keep the Federal Reserve on track to start unwinding economic stimulus this year.
Spot gold rose 0.1% to $1,757.10 per ounce by 0905 GMT, while U.S. gold futures fell 0.2% to $1,756.00.
