During yesterday's trading, the US dollar appreciated significantly relative to the major leading currencies. The dollar index closed the trading session in the positive zone (+0.53%). Today investors' attention is focused on the report on the US labor market. Most experts believe that the increase in the number of employed in the private sector will slow down due to the aftermath of hurricanes "Harvey" and "Irma." At the same time, preliminary statistics proved to be quite optimistic. It should be recalled that the report from ADP exceeded market expectations. In September, business activity in the non-manufacturing sector of the US increased by 8.1% to 59.8. Over the past week, which ended on September 29, the number of initial applications for unemployment benefits fell by 12,000 to 260,000. We recommend you to pay attention to the difference between the actual and forecasted values of the indicators.
The minutes from the ECB meeting on monetary policy indicated that some officials are concerned about the significant strengthening of the euro since the beginning of this year. Representatives of the FOMC Patrick Harker and John Williams reported that the Fed could once again raise the range of key interest rates in 2017.
Oil prices moved away from local lows. Yesterday, futures for the WTI crude oil rose by more than 1.5%. At the moment, the quotes are above $50 per barrel.
Market Indicators
Yesterday, the major US stock indexes again updated historical highs. SPDR S&P 500 (NYSE:SPY) closed at $254.66 (+0.59%).
The 10-year US government bonds yield shows positive dynamics. At the moment the indicator is at the level of 2.35-2.36%.
The news background on 2017.10.06:
- The US and Canadian labor market reports at 15:30 (GMT+3:00);
- The index of business activity in Canada from Ivey at 17:00 (GMT+3:00).
We also recommend you to pay attention to the speeches of the FOMC representatives.
China's financial markets will be closed due to the holiday.