USD Expected To Fall Further Before NFP

The dollar headed for a fourth weekly decline against the euro as investors weigh whether U.S. payrolls data due today will encourage the Federal Reserve to consider trimming stimulus as early as this month.

Europe’s shared currency held a gain from yesterday against most of its major peers after the region’s central bank refrained from easing policy. The yen headed for its first weekly advance in six against the dollar before Japan releases gross domestic product data on Dec. 9. The U.S. economy added 185,000 jobs last month, a Bloomberg News survey shows before today’s Labor Department report.

“If you get a number around 160,000 or below and no change in the unemployment rate, then you would see the U.S. dollar sell off quite sharply,” said Emma Lawson, a senior currency strategist at National Australia Bank Ltd. in Sydney. “The risks, in terms of market reaction, are more sensitive to the downside.”


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Mingze Wu

Mingze Wu

Currency Analyst at Market Pulse
Based in Singapore, Mingze Wu focuses on trading strategies and technical and fundamental analysis of major currency pairs. He has extensive trading experience across different asset classes and is well-versed in global market fundamentals. In addition to contributing articles to MarketPulseFX, Mingze centers on forex and macro-economic trends impacting the Asia Pacific region.
Mingze Wu