News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
Will NFPs Stop the US Dollar Slide? Charts for Thought

Will NFPs Stop the US Dollar Slide? Charts for Thought

Christopher Vecchio, CFA, Senior Strategist

The US Dollar is back under pressure ahead of the US Nonfarm Payrolls report for July. What can correlations and histories show us?

Below you will find the historical relationship of the ADP Employment Change report and the Nonfarm Payrolls report; how NFPs have fared against the ISM Manufacturing and Non-manufacturing Employment sub-components; trends in employment given weekly jobless claims and various gauges of unemployment; and how the EURUSD has fared in response to the previous Nonfarm Payroll reports.

Will_NFPs_Stop_the_US_Dollar_Slide_Charts_for_Thought_body_Picture_7.png, Will NFPs Stop the US Dollar Slide? Charts for Thought

Source: Bloomberg – Prepared by Christopher Vecchio

Two-year Correlation (ADP versus NFPs): +0.46

Six-Month Correlation: +0.70

Will_NFPs_Stop_the_US_Dollar_Slide_Charts_for_Thought_body_Picture_10.png, Will NFPs Stop the US Dollar Slide? Charts for Thought

Source: Bloomberg – Prepared by John Kicklighter

Will_NFPs_Stop_the_US_Dollar_Slide_Charts_for_Thought_body_Picture_13.png, Will NFPs Stop the US Dollar Slide? Charts for Thought

Source: Bloomberg – Prepared by John Kicklighter

Will_NFPs_Stop_the_US_Dollar_Slide_Charts_for_Thought_body_Picture_4.png, Will NFPs Stop the US Dollar Slide? Charts for Thought

Source: Bloomberg – Prepared by John Kicklighter

--- Written by Christopher Vecchio, Currency Analyst

To contact Christopher Vecchio, e-mail cvecchio@dailyfx.com

Follow him on Twitter at @CVecchioFX

To be added to Christopher’s e-mail distribution list, send an e-mail with subject line "Distribution List" to cvecchio@dailyfx.com

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES