Daily thread to exchange ideas and to share your thoughts
Happy Friday, everyone! Welcome to the US non-farm payrolls waiting room. Markets are in a more steady state as traders and investors are all waiting on the release of the US jobs report before committing to any firm moves to wrap up the week.
The dollar is holding steady with the euro a little weaker after German data earlier. That said, currency ranges remain relatively narrow with EUR/USD still seen in a 16 pips range today. The kiwi is slightly on the back foot but it's not straying away from levels seen in the past few trading sessions.
With US futures and Treasury yields closer to flat levels, it's not really giving currency traders much direction to start the European morning and I would expect the mixed and flatter tones to prevail ahead of the key risk event later today.
Looking ahead, the payrolls data will be used as a cue for markets to gauge the Fed's decision during the FOMC meeting later this month and a poor report may spark fears of a 50 bps rate cut again - though I still reckon that would be premature.
What are your views on the market right now? Share your thoughts/ideas with the ForexLive community here.