Markets Await Friday’s Non-Farm Payrolls Data

USD

On Friday, the Greenback edged up to one-week highs vs. a basket of major currencies, as market players are awaiting Friday’s Non-farm Payrolls data later in the day for further clues on the pace of Federal Reserve rate hike. Additionally, the U.S. dollar settled high vs. the yen on hopes of easing tensions between Washington and Pyongyang after the U.S. President Donald Trump yesterday he was prepared to meet North Korean leader Kim Jong Un for the first US-North Korea summit. On the release front, traders are awaiting the US Unemployment Rate (FEB), which is expected to hit 4.0%, from 4.1%. Elsewhere, traders are also awaiting, Canada Unemployment Rate, which is expected to hit 5.9%.

• The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up by 0.10% at 90.20.

EUR

The Single currency managed to recover after posting sharp losses yesterday when the ECB President Mario Draghi said regional inflation remains subdued, and that rising protectionism is a risk. The EUR rose slightly by 0.03%, to settle at $1.2315.

JPY

Against the JPY, the USD rose by 0.50%, to settle at ¥106.74. Earlier today, the BOJ kept its monetary policy unchanged at -0.10%.

Gold

Earlier today, gold prices inched lower, as the Greenback rose on hopes of easing tensions between Washington and Pyongyang and ahead of Friday’s non-farm payrolls data later in the day.  US President Donald Trump said yesterday that he was prepared to meet North Korean leader Kim Jong Un for the first US-North Korea summit, marking a potentially dramatic breakthrough in nuclear tensions with Pyongyang. Gold Futures - Apr 18 (GCJ8), fell by by 0.19%, to settle at $1,319.20.

Oil

Early on Friday, Crude oil inched higher as Asian markets gained after US President Donald Trump accepted an invitation to meet with North Korean leader Kim Jong. The White House said Trump would accept the invitation at a place and time to be determined. Crude Oil WTI Futures - Crude Oil WTI Futures - Apr 18 (CLJ8) rose as much as 0.37%, to settle at $60.34, and Brent Oil Futures - May 18 (LCOK8) was up by 0.24% at $ 63.76.

The most important economic events:

• CAD Net Change in Employment (FEB): (GMT 13:30) – Important – Forecast (21.0k) – Previous (-88.0k).
• CAD Unemployment Rate (FEB): (GMT 13:30) – Important – Forecast (5.9%) – Previous (5.9%).
• USD Change in Non-farm Payrolls (FEB): (GMT 13:30) – Important – Forecast (205k) – Previous (200k).
• USD Unemployment Rate (FEB): (GMT 13:30) – Important – Forecast (4.0%) – Previous (4.1%).

Disclaimer
The prices and news mentioned in this outlook are absolutely no guarantee of future market performance and do not represent the view of ICM Capital Limited. Financial markets can move in either direction causing profits to be made or complete losses to be incurred by the trader. Each trader must decide for themselves what their risk appetite is and ensure that correct risk management procedures are in place before placing any trades.