Fundamental Comment

Dollar: US jobs report to grab attention

US jobs report to grab attention

Financial market watchers will be followed by a number of important reports, especially the jobs report in the United States, as it is considered a leading indicator used by the Fed to determine the future of monetary policy.  

The Services PMI released from a number of major economies, will also be carefully watched as it is likely to give the last features of growth in the last quarter of the year.

It is necessary to note that the inflation indicators from the Chinese economy are expected to be of great importance, given the negative impact of the trade war between the United States and China on producer prices.

Certainly, the jobs report is expected to be the most important and the most influencing report on the movement of the U.S. dollar.

The NFP may indicate that American employers created 165,000 jobs in December, and the unemployment rate has stabilized at 3.6%, according to median forecasts.

The December services sector purchasing managers' report from the U.S. will also be of interest to investors, as it may give an impression of the shape of growth in the US economy in the fourth quarter.

The Services PMI may signal an improvement in the pace of growth to 54.5 in December, compared to November's reading of 53.9.

Last but not least, any developments regarding trade negotiations between the United States and China may affect the dollar in particular and the markets in general, while investors should keep their eyes open on the melting situation between the U.S. and Iran.

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