MARKET DEVELOPMENT – USD Whipsaws on Mixed NFP, FX Volatility Subdued
USD: While today’s NFP report saw the headline figure beat analyst estimates, the main takeaway is the drop-in wage growth with both the monthly and annual numbers missed forecasts. Consequently, the USD whipsawed, however, as predicted by FX options (full report click here) the NFP report was unlikely to provide much in the way of volatility with EURUSD remaining with its narrow range.
CAD: After two months of strong gains in jobs created for Canada, this month saw jobs lost (-7.2k), which stemmed predominantly from full time workers (-6.4k). Although, some encouragement for the BoC officials will be that wage growth continued to pick up, thus stemming the declines in the Loonie. Resistance situated at 1.3400 and 1.3440. (Technical Analysis)
Source: Thomson Reuters, DailyFX
DailyFX Economic Calendar: – North American Releases
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WHAT’S DRIVING MARKETS TODAY
- “GBPUSD Price Outlook: Brexit Can-Kicking & Flexible Extensions” by Nick Cawley, Market Analyst
- “CAD Technical Analysis Overview: USDCAD, EURCAD, CADJPY” by Justin McQueen, Market Analyst
- “Using FX To Effectively Trade Global Market Themes at IG” by Tyler Yell, CMT , Forex Trading Instructor
--- Written by Justin McQueen, Market Analyst
To contact Justin, email him at Justin.mcqueen@ig.com
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