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.
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|ASX SPI: 5668|