Yesterday, trading on currency majors was quite active. At the same time, a unidirectional trend was not observed. The dollar index (#DX) closed the trading session with a slight decrease (-0.14%). Financial market participants are still concerned about the trade conflict between the US and China, which supports the demand for safe assets. At the moment, the main currency pairs are consolidating. We expect important economic reports.
Today, at 15:30 (GMT+3:00), the US will publish labor statistics for August. The preliminary report from ADP was rather weak. At the same time, the index of economic activity in the non-manufacturing sector of the country increased from 55.7 to 58.5. Experts expect a fairly optimistic report on the labor market. We recommend paying attention to the difference between the actual and forecasted values. It should be noted that this statistics may affect the Fed views on the further monetary policy tightening. At the moment, more than 95% of financial market participants expect that the central bank of the United States will increase the range of the key interest rate by 25 basis points to 2.00%-2.25% at the meeting on September 26.
The “black gold” prices are moderately rising. At the moment, futures for the WTI crude oil have approached a mark of $68.00 per barrel.
Market Indicators
Yesterday, the major US stock indices showed mixed dynamics: #SPY (-0.30%), #DIA (+0.14%), #QQQ (-0.89%).
At the moment, the 10-year US government bonds yield is at the level of 2.88-2.89%.
The news feed on 07.09.2018:
A report on the US labor market at 15:30 (GMT+3:00);
Statistics on the labor market in Canada at 15:30 (GMT+3:00);
The index of economic activity in Canada from Ivey at 17:00 (GMT+3:00).
