As U.S. Employment Data is closely watched by investors for any hope that the Fed will ease up on its inflationary policy, the dollar quietly retained its position just out of reach of 2-month gains by the close of trade today.
The USD Index was at 91.884 this morning in Asia after it receded from its position at 92.408 on June 18, which was a day in the same week that the Fed blindsided everyone with their policies on inflation.
What’s important now, experts say, is paying attention to the data more than ever before. This attentiveness will help those who are the most savvy get an edge on when the inflation will break, and then of course this will lead to a better understanding of when and how to make pertinent investments.
Many experts are expecting the U.S. Labor Department to announce a 690,000 job increase for June, according to best estimates. This is compared with 559,000 in May, along with a proportional drop in unemployment for this month compared with last month.
Some of the data that should be examined closely is consumer confidence data. The Institute for Supply Management’s manufacturing index will also be incredibly informative in he next few days concerning inflation rates and predictions for a break.
The dollar reached $1 to 110.620 yen, which was, as stated, about a three month high compared with last month’s levels.
“The market had been positioned long of the single currency on optimism regarding the vaccine catch-up trade in the region (but) forecasts that the Delta variant of COVID could spread through Europe (in) the summer months could now be undermining confidence in this trade,” Rabobank strategist Jane Foley wrote in a report, cutting a one-month euro forecast to $1.19 from $1.20. As U.S. Employment Data is closely watched by investors, we saw plenty of activity at MetaNews.