4 Apr 2014
Markets subdued ahead of non-farm payrolls
FXStreet (London) - Markets remain subdued this morning, with markets focused on US non-farm payroll data due at 13:30 GMT.
German factory orders boosted by Eurozone demand
With a light European calendar, German factory orders have been the only data release of any note. According to the German Federal Statistics Office, seasonally-adjusted February orders rose 0.6 percent month-on-month, beating consensus expectations of a further 0.1 percent rise, matching January’s downwards-revised growth.
Orders from the Eurozone jumped 5.9 percent, and those from outside the currency union fell by 3.1 percent.
Non-farm payrolls the centre of attention
The market is now almost entirely focused on the US non-farm payrolls. Consensus expectations are for a 200k print. However, market optimism suggests that we might need to see a number in the 205k+ area to satisfy dollar bulls.
Optimism has been supported this week by ISM and PMI surveys indicating that demand has returned following the effects of below-normal US temperatures and disruptive weather conditions earlier in the year.
Based on recent data, we may also be looking to see some wage upside, adding 0.2 percent to hourly earnings and helping to support consumer confidence.
Canadian employment expected to rebound
North of the border, Canadian employment expectations are less bullish, but still expecting a rebound from last month’s 7k slump.
Consensus expectations are for 22.5k new jobs, but the trend of recent surveys is for a pick-up in business activity and hiring so we may see some good news for Canada after its recent run of misses.
German factory orders boosted by Eurozone demand
With a light European calendar, German factory orders have been the only data release of any note. According to the German Federal Statistics Office, seasonally-adjusted February orders rose 0.6 percent month-on-month, beating consensus expectations of a further 0.1 percent rise, matching January’s downwards-revised growth.
Orders from the Eurozone jumped 5.9 percent, and those from outside the currency union fell by 3.1 percent.
Non-farm payrolls the centre of attention
The market is now almost entirely focused on the US non-farm payrolls. Consensus expectations are for a 200k print. However, market optimism suggests that we might need to see a number in the 205k+ area to satisfy dollar bulls.
Optimism has been supported this week by ISM and PMI surveys indicating that demand has returned following the effects of below-normal US temperatures and disruptive weather conditions earlier in the year.
Based on recent data, we may also be looking to see some wage upside, adding 0.2 percent to hourly earnings and helping to support consumer confidence.
Canadian employment expected to rebound
North of the border, Canadian employment expectations are less bullish, but still expecting a rebound from last month’s 7k slump.
Consensus expectations are for 22.5k new jobs, but the trend of recent surveys is for a pick-up in business activity and hiring so we may see some good news for Canada after its recent run of misses.