U.S. Nonfarm Payrolls Impact on Markets Today
Today’s focus is on U.S. Nonfarm Payrolls. As well as labor market data from Canada, as well as GDP figures from the Eurozone. The U.S. Nonfarm Payrolls report is expected to rise by 160k Jobs, while the Canadian job numbers could influence the outlook for the Bank of Canada. Meanwhile, oil prices are recovering slightly after recent losses, and gold remains steady.
Key Data Out Today
- Eurozone GDP (Q4): Expected at 0.1% QoQ, 0.9% YoY, signaling stagnation.
- Canada Employment (Feb): Forecasted at 20K jobs added, unemployment rate rising to 6.7%.
- U.S. Nonfarm Payrolls (Feb): Expected to rise by 160K, with wages forecasted to increase 4.1% YoY.
- ECB President Lagarde Speech: Investors await comments on inflation and monetary policy direction.
Commodities
- Oil: Brent crude is up 0.38% to $69.72, while WTI crude gains 0.40% to $66.62. Despite the rebound, concerns over demand remain.
- Gold: Trading at $2,913.60, up 0.11%, as investors monitor labor data for clues on Fed policy.
- Silver: Slightly lower at $32.60, yet remains strong with a 4.72% weekly gain.
Currency Movements
EUR/USD (1.0825, ↑ 0.38%)
The euro strengthens ahead of GDP data, extending a 4.33% weekly rally.
GBP/USD (1.2898, ↑ 0.14%)
The pound holds gains as investors assess the impact of today’s NFP report.
AUD/USD (0.6308, ↓ 0.39%)
The Aussie slips despite a positive week, with traders watching risk sentiment.
NZD/USD (0.5719, ↓ 0.41%)
The kiwi weakens after strong gains this week, pressured by global uncertainty.
USD/JPY (147.59, ↓ 0.26%)
The yen strengthens as lower U.S. bond yields weigh on the dollar.
USD/CNY (7.2481, ↑ 0.06%
The yuan edges higher as markets await economic guidance from Chinese policymakers.
USD/CHF (0.8810, ↓ 0.37%)
The franc continues its rally, with traders favoring safe-haven assets.
USD/CAD (1.4306, ↑ 0.05%)
The loonie holds firm ahead of Canada’s employment report.
USD/MXN (20.2793, ↓ 0.07%)
The peso strengthens on risk appetite, posting a 1.30% weekly gain.
USD/INR (87.1110, ↓ 0.05%)
The rupee remains stable, tracking global forex movements.
Market Outlook
Today’s Nonfarm Payrolls report will be a major driver for market sentiment, especially for USD pairs. A weaker-than-expected number could increase speculation of rate cuts by the Fed, putting pressure on the dollar. Meanwhile, the ECB’s stance will be closely watched following GDP figures. Commodities remain in focus as oil stabilizes, and gold stays supported by cautious risk appetite.