Dollar Gains Modestly on NFP, But Lacks Momentum
| Action Insight Mid-Day Report 2-7-25 |
Dollar Gains Modestly on NFP, But Lacks Momentum |
Dollar edged higher in early US session following the non-farm payrolls (NFP) report, but the overall momentum remains lackluster. Stock futures are flat, while 10-year Treasury yield is staging a slight recovery, suggesting a measured market response as traders hold back from aggressive positioning ahead of next week's key economic events including US CPI and Fed Chair Jerome Powell's testimony. While headline NFP figure of 143k fell short of expectations, the dip in the unemployment rate to 4.0% and strong wage growth at 0.5% mom have reinforced the Fed’s cautious stance towards further policy easing. Markets now see over 90% chance that Fed will keep rates unchanged in March, while expectations for another hold in May stands at 70%. Overall, despite today's recovery, Dollar is still trading as the worst performer for the week, followed by Euro, and then Swiss Franc. Yen continues to sit at the top of the ladder, followed by Canadian, and then Aussie. Kiwi and Sterling are mixed in the middle.... |
EUR/USD Mid-Day Outlook Daily Pivots: (S1) 1.0355; (P) 1.0381; (R1) 1.0410; More... EUR/USD dips mildly but stays well inside range of 1.0176/0531. Intraday bias remains neutral and more consolidations could be seen. Strong resistance is expected from 1.0531 to limit upside. On the downside, break of 1.0176 will resume whole fall from 1.1213. However, sustained break of 1.0531 will rise the chance of bullish reversal and turn bias back to the upside for stronger rally. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
|---|
| 23:30 | JPY | Household Spending Y/Y Dec | 2.70% | 0.30% | -0.40% | | 05:00 | JPY | Leading Economic Index Dec P | 108.9 | 108.1 | 107.5 | | 07:00 | EUR | Germany Industrial Production M/M Dec | -2.40% | -0.70% | 1.50% | 1.30% | | 07:00 | EUR | Germany Trade Balance (EUR) Dec | 20.7B | 17.1B | 19.7B | | 07:45 | EUR | France Trade Balance (EUR) Dec | -3.9B | -5.3B | -7.1B | -6.3B | | 08:00 | CHF | Foreign Currency Reserves (CHF) Jan | 736B | 731B | | 13:30 | CAD | Net Change in Employment Jan | 76.0K | 26.5K | 90.9K | | 13:30 | CAD | Unemployment Rate Jan | 6.60% | 6.80% | 6.70% | | 13:30 | USD | Nonfarm Payrolls Jan | 143K | 169K | 256K | 307K | | 13:30 | USD | Unemployment Rate Jan | 4.00% | 4.10% | 4.10% | | 13:30 | USD | Average Hourly Earnings M/M Jan | 0.50% | 0.30% | 0.30% | | 15:00 | USD | Wholesale Inventories Dec F | -0.50% | -0.50% |
|
|
|
