Here’s everything you should know about Forex for Friday, March 8:
The US dollar fell sharply against its major rivals in forex market for the second day in a row on Thursday before Stabilizing early Friday. US Dollar Index last traded below 103.00. Losing more than 1% on a weekly basis. The US Bureau of Labor Statistics will release its February jobs report ahead of the weekend. Which will include non farm payrolls, the unemployment rate, and wage Inflation numbers.
The benchmark 10-year US Treasury note yield fell below 4.1% on Thursday. Continuing its weekly fall. Meanwhile, Wall Street’s main indexes posted substantial increases. With the S&P 500 Index reaching a new all time high at the closing bell. Early Friday, US stock index futures are unchanged, and the 10-year yield has consolidated weekly losses below 4.1%.
Nonfarm payrolls in the United States are expected to expand by 200,000 in February. Following an extraordinary 353,000 gain in January. The unemployment rate is predicted to remain stable at 3.7% throughout the same period. With annual wage inflation falling to 4.4% from 4.5%.
US February NFP Forecast: After a strong increase in January, nonfarm payrolls are expected to rise again in February.
Germany’s data indicated early Friday that the Producer Price Index increased by 0.2% on a monthly basis, following a 0.8% decrease in December. On a positive note, industrial production increased by 1% in January, exceeding the The market expects a 0.6% expansion.
European Central Bank (ECB) left monetary policy settings constant, but cut inflation and GDP predictions downward.
On Thursday, the European Central Bank (ECB) left monetary policy settings constant, but cut inflation and GDP predictions downward. In the post-meeting press conference, ECB President Christine Lagarde stated that they have only begun discussing the reduction of the restrictive stance and that they would have additional data to assess until June to be “sufficiently confident” about meeting the inflation target. Although EURUSD fell throughout the ECB meeting, it regained traction on broad-based USD weakness and reached its highest level since mid-January, above 1.0950. The pair remained in a consolidation phase barely below 1.0950 in the early European session on Friday.
Forex Market movement in pairs.
GBPUSD profited from the selling pressure around the USD and rose above. 1.2800 for the first time in 2024. The pair remained at that level throughout the European morning on Friday.
USDJPY plummeted roughly 1% on Thursday. Dragged down by falling US rates and USD weakness. The pair was last seen trading a few ticks under 148.00.
Gold set a fresh record high above $2,160 on Thursday. Before falling marginally early Friday. XAUUSD is up about 4% this week and is on track to finish the third consecutive week in positive territory.
