December 6 2013

In the trading room today: USD New Trading Week Outlook. Following yet another positive employment report from the United States, we note the inability of the U.S. dollar to manage a sustainable rally against the EUR and other currency majors and explore what the new trading week might have in store for the greenback, we list the Top 10 spotlight economic events that will move the markets in the week ahead, we examine the consensus forecast for the upcoming economic data, we analyze the move toward an important resistance levels for the EUR/USD currency pair, we take a look at the bounce higher in the GBP/USD pair, we keep an eye on the USD/JPY pair, we highlight the market’s reaction to the Swiss CPI and the U.S. Employment Situation report, we discuss new forecasts from Morgan Stanley and UBS, and prepare for the trading session ahead.


USA 

December 6, 2013 (Bureau of Labor Statistics) – The unemployment rate declined from 7.3 percent to 7.0 percent in November, and total nonfarm payroll employment rose by 203,000, the U.S. Bureau of Labor Statistics reported today. Employment increased in transportation and warehousing, health care, and manufacturing.

Both the number of unemployed persons, at 10.9 million, and the unemployment rate, at 7.0 percent, declined in November. Among the unemployed, the number who reported being on temporary layoff decreased by 377,000. This largely reflects the return to work of federal employees who were furloughed in October due to the partial government shutdown.

The change in total nonfarm payroll employment for September was revised from +163,000 to +175,000, and the change for October was revised from +204,000 to +200,000. With these revisions, employment gains in September and October combined were 8,000 higher than previously reported.

The Employment Situation for December is scheduled to be released on Friday, January 10, 2014, at 8:30 a.m. (EST).