6 Oct: US$ firm, stocks at new highs ahead of today’s US employment data.

By | October 6, 2017

 

The US$ has had a good day, making new trend highs against the Aud, Nzd, Chf and Sterling ahead of today’s NFP figures and looking as though there are further gains ahead although all will now depend on the data and the prospect of a December rate hike from the Fed.  The US economic figures on Thursday did nothing to dispel thoughts of a rate hike, with the Factory Orders coming in above expectations. The Aud was undone by the bad Retail Sales reading, while Sterling fell heavily due to the political uncertainty on talks of UK PM Theresa May being ousted by her own party members surface after her debacle of a keynote speech at the Conservative Party Conference yesterday. In other markets, US stock indices made new highs for the fourth consecutive day while commodities remain under pressure from the stronger dollar.

Friday looks set to be pretty much a non event until the US jobs data, with a low expectation for the NFP figure of just 98K due to the fallout from the recent hurricanes. The headline rate is expected to remain unchanged at 4.4%, while the AHE is expected to come in at +0.3%mm, 2.5%yy, with the average weekly hours set to be unchanged at 34.4. In other data, Australia will get the September Construction Index, while the focus in Europe will be on the German Factory Orders for August (exp +0.7%). Aside from the jobs report, the US will also get the August Wholesale Inventories – and the Fed’s Dudley and Kaplan will be speaking.

CURRENCIES
EURUSD: 1.1710
Res  1.1735  1.1750  1.1770
Sup  1.1695  1.1660  1.1615
USDJPY: 112.81
Res  113.00  113.20  113.40
Sup  112.50  112.30  112.20
GBPUSD: 1.3118
Res  1.3140  1.3170  1.3200
Sup  1.3100  1.3060  1.3080
USDCHF: 0.9782
Res  0.9795  0.9810  0.9835
Sup  0.9765  0.9750  0.9735
AUDUSD: 0.7793
Res  0.7815  0.7840  0.7860
Sup  0.7785  0.7765  0.7750
NZDUSD: 0.7115
Res  0.7140  0.7160  0.7180
Sup  0.7100  0.7085  0.7070
INDICES / COMMODITIES
S&P: 2549
Res  2550  2560  2570
Sup  2535  2540  2530
DJI: 22732
Res  22745  22800  22850
Sup  22700  22650  22600
ASX SPI: 5668
Res  5670  5690  5710
Sup  5635  5605  5590
XAUUSD: 1268
Res  1275  1280  1285
Sup  1265  1260  1255
XAGUSD: 16.59
Res  16.75  16.90  17.05
Sup  16.50  16.35  16.15
WTI: 50.71
Res  51.15  51.80  52.85
Sup  49.80  49.10  48.40