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
USD Weakens as ADP Employment Report Disappoints

USD Weakens as ADP Employment Report Disappoints

Nick Cawley, Strategist

Talking Points

- US employment rose less than expected in June, according to the latest ADP report.

- The USD fell further against a strong EUR.

Looking for trading ideas? - Get your free DailyFX Third-Quarter Trading Forecast and Trading Guide here.

Private sector employment increased by 158,000 jobs from May to June according to the June ADP National Employment Report, missing expectations of 185,000 jobs, while the May total of jobs added was revised down from 253,000 to 230,000.

Despite the miss the US jobs market remains firm, with the labor market continuing to tighten.

“Despite a slight moderation in the month of June, the labor market remains strong,” said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute. “For the month of June, jobs were primarily created in the service-providing sector.”

The USD fell further against the EUR, although further losses may be tempered ahead of Friday’s non-farm payroll report. The USD fall against the EUR was also aided by the recent release of mildly hawkish ECB minutes which powered the single currency higher.

Chart: EURUSD 5-Minute Timeframe (July 6, 2017)

USD Weakens as ADP Employment Report Disappoints

Chart by IG

And Friday brings the closely watched monthly non-farm payroll report, with expectations of 173,000 jobs added in June against May’s 147,000 print. To get upto date views, trading opportunities and instant reaction to the release, join DailyFX analysts David Song, Michael Boutros and Tyler Yell for live coverage here

--- Written by Nick Cawley, Analyst

To contact Nick, email him at nicholas.cawley@ig.com

Don't trade FX but want to learn more? Read the DailyFX Trading Guides

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

DISCLOSURES