How does the dollar move after the release of US labor market data? ....expectation scenario
. US labor market data last February
The economy added about 275 thousand jobs.
Unemployment rates rose to 3.9%.
Wages recorded weak growth of only 0.1% on a monthly basis.
These data negatively affected the dollar’s movements against other currencies, as it indicated that the Federal Reserve was close to reducing interest rates.
. Other indicators on US labor market data:
- US Unemployment Claims Index: Most US aid applications showed stability at 215,000 applications.
- US private sector employment data: Private sector employment rose by 184,000 jobs, exceeding market expectations.
. Market forecasts:
- Positive scenario: If labor market data comes better than expected, this may support the dollar towards higher levels, while postponing expectations of a rate cut.
- Negative scenario: If the data is lower than expected, this could lead to a decline in the dollar and a negative impact on gold and US stocks.
Ultimately, economic data must be followed carefully to understand its impact on the markets and make appropriate decisions.