Investors Should Watch for U.S. Dollar Movements Following the Release of U.S. Employment Data
07.01.2022
- U.S. Employment Report
- Bostic (U.S.): Remarks by the President of the Atlanta Federal Reserve Bank
Yesterday, the three major U.S. stock indices all continued to fall, resulting in a market environment characterized by falling stock prices, rising interest rates, and higher crude oil prices. The yield on the 10-year U.S. Treasury note rose to 1.71%.The fear index (VIX) has stabilized somewhat and is currently hovering around 19.6. BTSUSD continued its decline today, falling to around $41,230.
In the foreign exchange market, the Dollar Index continues to trade sideways around 96.21, while the euro/dollar pair is showing directionless price action and is currently trading around 1.130.From a technical perspective, since the EUR/USD pair has not yet broken out of the range-bound trading pattern that began last month, a significant trend is likely to emerge once it breaks decisively below 1.123 or above 1.138.
Today, during European trading hours, the UK Halifax House Price Index will be released at 16:00, followed by Swiss Retail Sales at 16:30 and FrenchIndustrial Production at 16:45, UK Construction PMI at 18:30, and the Eurozone Consumer Price Index at 19:00. Once U.S. trading hours begin, the US Employment Report and Canadian Unemployment Rate are scheduled for 22:30, followed by the Canadian Ivey Purchasing Managers’ Index and remarks by US Daily:Remarks by the President of the San Francisco Fed; at 25:00, remarks by a member of the Bank of England’s MPC; and at 26:15, remarks by Bostic, President of the Atlanta Fed. I plan to keep a close eye on the U.S. employment report results while monitoring currency strength and weakness.
Author: Keisuke Sakurai
