Dollar Jumps after Strong NFP, Traders Abandon Bets on 50bps Fed Cut
Action Insight Mid-Day Report 10-4-24 |
Dollar Jumps after Strong NFP, Traders Abandon Bets on 50bps Fed Cut |
payroll report. The data showed much higher-than-anticipated job growth, a slight decrease in unemployment rate, and an acceleration in wage growth. This robust set of figures has led traders to largely abandon bets on a 50bps rate cut by Fed in November. Fed funds futures now reflect nearly a 90% probability of a 25bps cut instead. Meanwhile, stock investors seem unfazed by the reduced chances of a larger rate cut. Stock futures climbed as investors welcomed the strong jobs growth, while bond markets saw an outflow of funds, pushing 10-year yield past 3.9% level and heading toward 4%.... |
EUR/USD Mid-Day Outlook Daily Pivots: (S1) 1.1008; (P) 1.1030; (R1) 1.1052; More.... EUR/USD's break of 1.1001 cluster support (38.2% retracement of 1.0665 to 1.1213 at 1.1004) argues that whole rally from 1.0665 has completed at 1.1213. Intraday bias is back on the downside for 61.8% retracement at 1.0874 and possibly below. On the upside, above 1.1039 minor resistance will turn intraday bias neutral first. | |
GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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05:45 | CHF | Unemployment Rate M/M Sep | 2.60% | 2.60% | 2.50% | 06:45 | EUR | France Industrial Output M/M Aug | 1.40% | 0.40% | -0.50% | 0.20% | 08:30 | GBP | Construction PMI Sep | 57.2 | 53.1 | 53.6 | 12:30 | USD | Nonfarm Payrolls Sep | 254K | 147K | 142K | 159K | 12:30 | USD | Unemployment Rate Sep | 4.10% | 4.20% | 4.20% | 12:30 | USD | Average Hourly Earnings M/M Sep | 0.40% | 0.30% | 0.40% | 0.50% | 14:00 | CAD | Ivey PMI Sep | 50.3 | 48.2 |
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