Dollar Jumps as Robust NFP Gives Greenlight to Aggressive Fed
| Action Insight Mid-Day Report 10-7-22 |
Dollar Jumps as Robust NFP Gives Greenlight to Aggressive Fed |
Dollar rises broadly after US published another set of robust non-farm payroll job data. As Fed got a nod from the report for continuing its aggressive tightening, US stock futures are trading knocked down while treasury yields jump. Canadian Dollar is also lifted slightly by solid employment data too. In immediate actions, Euro and Swiss Franc seem to suggest most, but Aussie could quickly catch up if risk-off sentiment intensifies. Meanwhile, watch out for intervention by Japan if Yen selling tries to take off. In Europe, at the time of writing, FTSE is flat. DAX is down -0.52%. CAC is down -0.33%. Germany 10-year yield is up 0.117 at 2.203. Earlier in Asia, Nikkei dropped -0.71%. Hong Kong HSI dropped -1.51%. Singapore Strait Times dropped -0.18%. Japan 10-year JGB yield rose 0.007 to 0.254. |
EUR/USD Mid-Day Outlook Daily Pivots: (S1) 0.9745; (P) 0.9835; (R1) 0.9883; More... Immediate focus is now on 0.9734 minor support in EUR/USD. Firm break there will argue that larger down trend is ready to resume through 0.9534. Next target is 100% projection of 1.0368 to 0.9534 from 0.9998 at 0.9163. For now, risk will stay on the downside as long as 0.9998 resistance holds, in case of recovery. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:30 | JPY | Labor Cash Earnings Y/Y Aug | 1.70% | 1.40% | 1.80% | | 23:30 | JPY | Overall Household Spending Y/Y Aug | 5.10% | 6.80% | 3.40% | | 05:00 | JPY | Leading Economic Index Aug P | 100.90% | 99.20% | 98.90% | | 05:45 | CHF | Unemployment Rate Sep | 2.10% | 2.10% | 2.10% | | 06:00 | EUR | Germany Import Price Index M/M Aug | 4.30% | 2.20% | 1.40% | | 06:00 | EUR | Germany Retail Sales M/M Aug | -1.30% | -1.00% | 1.90% | | 06:45 | EUR | France Trade Balance (EUR) Aug | -15.3B | -13.2B | -14.5B | -14.8B | | 07:00 | CHF | Foreign Currency Reserves (CHF) Sep | 807B | 860B | 859B | | 08:00 | EUR | Italy Retail Sales M/M Aug | -0.40% | 1.00% | 1.30% | | 12:30 | USD | Nonfarm Payrolls Sep | 263K | 265K | 315K | | 12:30 | USD | Unemployment Rate Sep | 3.50% | 3.70% | 3.70% | | 12:30 | USD | Average Hourly Earnings M/M Sep | 0.30% | 0.30% | 0.30% | | 12:30 | CAD | Net Change in Employment Sep | 21.1K | 22.5K | -39.7K | | 12:30 | CAD | Unemployment Rate Sep | 5.20% | 5.40% | 5.40% | | 14:00 | USD | Wholesale Inventories Aug F | 1.30% | 1.30% |
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