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ForexLive Americas FX news wrap: Non-farm payrolls breathe life into USD

Forex news for US trading on February 5, 2016:

Markets:

  • Gold up $18 to $1173
  • WTI crude down 71-cents to $31.01
  • S&P 500 down 35 points to 1880
  • US 10-year yields flat at 1.84%
  • CHF leads, AUD lags

The initial reaction on the non-farm payrolls release was to sell the dollar on the soft headline and revisions but it quickly reversed on two factors 1) the unemployment rate unexpectedly fell 2) wages were stronger than anticipated. What started as a gentle dollar rally then gathered momentum. EUR/USD dropped to 1.1110 from 1.1200, where it finally found some bids ahead of the big figure.

USD/JPY initially fell 50 pips to 116.30 then reversed up to 117.39 but eventually finished at 116.78 as risk appetite eroded.

The commodity bloc offers a clearer picture. AUD/USD initially rose 30 pips and then sank from 0.7200 all the way to 0.7058 to finish at the lows. Similar story in NZD.

CAD had its own problems as a big crack appeared in the Canadian dollar with a soft jobs report.

Have a great weekend.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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