July US NFP report to show strong growth of around 240K – Valeria Bednarik

By FXstreet.com | July 31, 2014 AAA

FXStreet (Łódź) - Valeria Bednarik, Chief Analyst at FXStreet, expects the US jobs report, due out tomorrow, to reveal another month of solid job gains, close to 240K , while the unemployment rate stands at 6.1%.



Key quotes



“For this month market expectations are of 230K new jobs added which will fit average and therefore be understood as positive.”



“The problem is still the participation rate, which measures the total number of people either employed or actively looking for work, a number the FED likes to ignore completely: the labor force participation rate for all ages stands at 62-8, the lowest since 1978.”



“Nevertheless, if the numbers results above expected, investors will likely choose to price in a sooner than expected rate hike, more over if FED statement confirms purchase programs will end upcoming spring, with dollar edging higher across the board."



comments powered by Disqus
Related Forex Analysis
  1. GBP/USD recovering from Asian lows
    Forex News

    GBP/USD recovering from Asian lows

  2. USD/JPY mellow on the back of USD sell-off
    Forex News

    USD/JPY mellow on the back of USD sell-off

  3. Dollar Cheered in Press, But Data and Fed Chatter Turning
    Forex News

    Dollar Cheered in Press, But Data and Fed Chatter Turning

  4. EUR/USD Downside Targets Favored Ahead of ECB on Slowing Inflation
    Forex News

    EUR/USD Downside Targets Favored Ahead of ECB on Slowing Inflation

  5. US Dollar Technical Analysis: Is a Pullback in the Cards?
    Forex News

    US Dollar Technical Analysis: Is a Pullback in the Cards?

Trading Center