The US dollar retreated on poor data. It’s down but not out. US ISM Non-Manufacturing PMI, Trade Balance, Mario Draghi’s speech, rate decision in Japan, Australia and the UK and the important FOMC Meeting Minutes are the main events on Forex calendar. Here is an outlook on the market movers for this week.
The U.S. Non-Farm Payrolls report for September was a big disappointment, showing a lukewarm job gain of 142,000 positions, far below the 201,000 reading forecast by analysts. Meanwhile, the unemployment rate remained unchanged at 5.1% due to a further deterioration in the labor force participation rate, plunging to 62.4%, the worse rate since October 1977. Furthermore, wages remained flat, indicating subdued inflationary pressures. The negative report cools expectations for a near-term rate hike. Will this downturn trend continue? Let’s start,
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