Breaking: Non-Farm Payrolls beat with 312K, USD jumps

Yohay Elam FXStreet

The US economy gained 312K in December, much better than expected. The Unemployment Rate rose to 3.9%, worse than expected, but it is due to a rise in the participation rate to 63.1%.

Average Hourly Earnings are up 0.4% MoM and 3.2% YoY, better than expected. The greenback reacts positively but stocks turn south as the Fed may be more hawkish on the news.

EUR/USD fell to 1.1363 before bounding, GBP/USD to 1.2650, USD/JPY is around 108.00.

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Here is the move on the euro/dollar chart:

The US was expected to report an increase of 177,000 jobs in December after a disappointing rise of 155K in November (before revisions). The ADP NFP report for the private sector showed a jump of 271,00 positions, lifting expectations for the official Non-Farm Payrolls report. Wages were projected to rise of 0.3% MoM after 0.2% in November, and 3.1% YoY after 3.1% in November.

Fed Chair Jerome Powell speaks at 15:15 GMT alongside his predecessors Janet Yellen and Ben Bernanke.

Author

Yohay Elam

FXStreet

Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.

EUR/USD remains offered near 1.1950

EUR/USD comes under pressure near the 1.1950 zone following the closing bell on Wall Street on Wednesday. The Greenback’s rebound prompted spot to face some correction while investors continue to assess the latest FOMC event. On Thursday, the focus of attention will be on the weekly US labour market data and Factory Orders.