UK Jobs Preview: Feeble figures still furloughed? Another robust report may boost BOE-fueled rally

Britain’s unemployment rate for June and jobless claims for July will likely remain upbeat.  The UK’s labor market has been holding up thanks to the government’s successful furlough scheme. GBP.USD has room to extend the BOE-fueled gains.  Pandemic, what pandemic? That may the reaction for anyone looking at the UK’s unemployment rate – a remarkable … “UK Jobs Preview: Feeble figures still furloughed? Another robust report may boost BOE-fueled rally”

Read More

GBP/USD: Bear takeover? Upbeat UK GDP may be insufficient amid growing fears

GBP/USD has failed to hold onto the highs amid the BOE decision and Sino-American tensions. The UK jobs report, GDP, the US consumer, and geopolitics are all eyed. Early August’s daily chart is still pointing to overbought conditions. The FX Poll is pointing to short-term gains and falls afterward. The Bank of England’s “glass-half-full” approach … “GBP/USD: Bear takeover? Upbeat UK GDP may be insufficient amid growing fears”

Read More

NFP Quick Analysis: Slow hiring downbeat for the dollar, good for gold, no silver lining

The US economy gained 1.763 million jobs in July and the unemployment rate stands at 10.2%.  Coronavirus’ impact has proved devastating, pointing to a painful recession. Urge to add stimulus could be countered by another reason to worsen Sino-American relations. A V-shaped recovery? White House adviser Larry Kudlow still touted a rapid bounce as late … “NFP Quick Analysis: Slow hiring downbeat for the dollar, good for gold, no silver lining”

Read More

BOE Analysis: Three pound-positive on Super Thursday open door to new highs

The Bank of England has left its policy unchanged, without dissent toward negative rates.  Growth forecasts have been substantially upgraded.  Officials are content with positive high-frequency figures. Non-event? GBP/USD has hit the highest since March, showing that the Bank of England’s decision is included powerful punches, propelling the pound. Here are three factors that are … “BOE Analysis: Three pound-positive on Super Thursday open door to new highs”

Read More

BOE Preview: Three things that will move the pound on “Super Thursday”

The Bank of England is set to leave its policy unchanged but publish new economic assessments. Hints about more QE would boost the pound despite fears of independence.  Reopening the door to negative rates may weigh on sterling. Summer is about to become hotter – after a steaming hot weekend, pound traders are ready for … “BOE Preview: Three things that will move the pound on “Super Thursday””

Read More

US Data Analysis: Big jobs number? Negative NFP looks more likely, trends could extend in gold, dollar

ADP reported an increase of only 167,000 private-sector jobs in July. Manufacturing employment remains depressed according to ISM. The broader services sector also looks depressed. “Big jobs number on Friday” – said President Donald Trump to Fox News and the public ahead of July’s all-important Non-Farm Payrolls report. It doesn’t look that way – the … “US Data Analysis: Big jobs number? Negative NFP looks more likely, trends could extend in gold, dollar”

Read More

EUR/USD: Non-Farm Payrolls may trigger much-needed (temporary) correction

EUR/USD has hit the highest since 2018 amid dollar weakness stemming from several factors. US fiscal stimulus, COVID-19 figures, EU retail sales, and a full NFP buildup are eyed. Early August’s daily chart is pointing to mild overbought conditions. The FX Poll is pointing to a downward correction. Europe’s coronavirus advantage over the US has … “EUR/USD: Non-Farm Payrolls may trigger much-needed (temporary) correction”

Read More

GBP/USD Weekly Forecast: Will Bailey bail out the bears? BOE, buildup to NFP set to rock rising cable

GBP/USD has hit the highest since March amid a massive dollar sell-off. The BOE’s decision and a full buildup to the Non-Farm Payrolls stand out in the upcoming week. Early August’s daily chart is showing overbought conditions.  The FX Poll showing falls in all timeframes. Benefiting from the misery of others – there was nothing … “GBP/USD Weekly Forecast: Will Bailey bail out the bears? BOE, buildup to NFP set to rock rising cable”

Read More

US GDP: Could have been worse, but will not improve, winners and losers in markets

The US economy shrank by a historic 32.9%, better than expected. Coronavirus continues raging in America in the third quarter, setting the stage for a prolonged recession. The US dollar has room to resume its falls, while the stock market rally seems vulnerable.  Better than expected – the green on the screen masks a devastating … “US GDP: Could have been worse, but will not improve, winners and losers in markets”

Read More

Fed Preview: Warming up to controlling the yield curve, nudging lawmakers, keeping markets happy

The Federal Reserve is set to leave its policy unchanged but may show openness to controlling the yield curve.  Fed Chair Powell may gently call on lawmakers to act as negotiations come to the wire. While stock markets may seem rich, the Fed is unlikely to express concern. “Not even thinking about thinking about raising … “Fed Preview: Warming up to controlling the yield curve, nudging lawmakers, keeping markets happy”

Read More