These were good payrolls… good for the dollar

By GG Analyst in Reviews 0 Comment

EUR/USD

Quite naturally, Friday’s report on the U.S. labour market proved positive for the markets. Stock markets experienced a rally, having grown by 1.2-1.6% to the end of the day. Actually, the labour market added 243K jobs in January. Besides, the corresponding figures for 2011 were also revised: BLS increased the number of employees in 2011 to 266K compared to what had been reported earlier. The unemployment rate fell to 8.3% from 8.5% in December.  Considering unemployment, the economy is on the right track: in November 2010 the unemployment rate made 9.8%, after which there set in a steady tendency for its more…

Payrolls ahead: on guaaaarrrd!

By GG Analyst in Reviews 0 Comment

EUR/USD

The current week has been mostly quiet in Forex. This may become a good signal for those who’s missing the market volatility on news about the US labour market. For more than two years the market has been generally moved by politicians’ statements and changing sentiments over the monetary policy. But this time the market is quite phlegmatic about labour statistics. In general, it is very unlikely that there will be a sharp reversal of the trend to a slow recovery process in employment. The January unemployment rate is expected to remain at 8.5% with a 150K increase in the number more…

UK and Czechs abandon the “compact”, but markets seem to be doing well with other 25 members joining it

By GG Analyst in Reviews 0 Comment

EUR/USD

25 of the 27 EU countries signed the pact over toughened fiscal discipline. Along with Britain the Czech Republic also refused to put its signature. This pact imposes semi –automated sanctions for overspending governments and brings these regulations to the level of national laws. Greek Prime Minister Lucas Papademos claimed that an agreement with private creditors would be reached before the end of the week. Exactly the same pledge had been heard many times before without its further accomplishment then. However, the markets are still able to react to the statements of European politicians. On Monday morning the single currency showed more…

Strong Data on US Labor Market Spur Demand for ‘Safe’ USD

By GG Analyst in Reviews 0 Comment

EUR/USD

Friday’s data on the U.S. labor market surpassed everyone’s expectations and once again proved that the U.S. currency can be a good choice to save money at this unstable time. The U.S. payrolls rose by 200,000 in December, the unemployment rate fell from 8.7% to 8.5%, average weekly hours increased from 34.3 to 34.4 and average hourly earnings grew by 0.2%. Manufacture also demonstrated a good increase in the number of jobs – 23K against the average 10K during the previous six months. Manufacture is the heart of economy and though making a rather small contribution to GDP (form 15% to more…

Payrolls turned out to be weaker than expected, but Europe supports the markets

By GG Analyst in Reviews 0 Comment

EUR/USD

As it often happens in our days, Friday’s U.S. labor report contained rather contradictory data. On the one hand, the number of household employees continues to grow under unprecedented rate, having increased by over 278 000. The total number of payrolls almost met the analyst forecasts, reaching 120K against the expected 126K. In addition, data for the previous two months were revised: they went up by over 70K. But there’s no point to be overexcited about falling of the unemployment rate from 9.0% to 8.6% since only one-third of it is due to the employment growth, and two-thirds is caused by more…