NFP Report: Solid rebound, but not much impact on USD
|The USD appears to have been provided with a temporary boost following the news that the United States added another 211,000 jobs to its economy over the previous month, significantly above expectations of marginally below 190,000 with the US employment rate falling to 4.4%.
Although there is an impressive downside surprise with the unemployment rate, and this data does overall provide further confidence to expect another US interest rate rise in June, I don’t necessarily expect the Dollar to continue trending higher over the short term as the markets have already mostly priced in another interest rate hike from the Fed.
All in all this NFP report represents a solid rebound from the previous jobs report, and supports the indications that the Federal Reserve provided earlier in the week that the slowdown seen in US economic data early in 2017 appears to be temporary.
I would expect that investors will take further encouragement from this jobs report that the Federal Reserve will pull the trigger on another US interest rate increase in June.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.