FX & CFD trading involves significant risk
The dollar weakened for a third day against the euro before a report that economists say will show U.S. employers added workers last month, sapping demand for the currency as a haven.
Europe’s common legal tender gained as a report showed services industries in Germany grew faster than economists forecast in November. Governments “must go as far as possible and be as effective as possible” in dealing with the crisis, European Central Bank President Jean-Claude Trichet said, a day after policy makers yesterday delayed their exit from stimulus measures. South Korea’s won rose as overseas investors raised holdings of the nation’s shares for a third day.
“The risk story has proved to be relatively useful and also the recognition that the ECB is mindful of the broader risks is also mildly supportive,” said Jeremy Stretch, executive director of foreign-exchange strategy at Canadian Imperial Bank of Commerce in London. “A good payrolls number will favor the risk story and may be negative for the dollar.”
The dollar traded at $1.3242 per euro as of 9:56 a.m. in London, from $1.3209 in New York yesterday. It has weakened from $1.2969 on Nov. 30, the strongest level since Sept. 15. Against the yen, the dollar weakened by 0.2 percent to 83.57 from 83.82 yesterday. The euro was at 110.69 yen, from 110.73 yen, down 0.6 percent in the week.
Employment in the U.S. increased by 150,000 last month, according to the median forecast of 87 economists surveyed by Bloomberg News, bringing the rise so far this year to 1.02 million. The unemployment rate probably held at 9.6 percent, according to the survey median.
The Dollar Index, which IntercontinentalExchange Inc. uses to track the greenback against the currencies of six U.S. trading partners, slipped 0.2 percent to 80.157.
EUR/USD: the pair has breached the range of $1,3190-$ 1,3230? and keeps growing.
GBP/USD: the pair has shrinked from session high at $1,5670.
USD/JPY: the pair shown low on around Y83,50.
The main event for Friday is at 1330GMT when non-farm payrolls are expected to rise 150,000 for November following the 151,000 jump in October. The unemployment rate is forecast to tick up slightly to 9.7% from 9.6% in October. Hourly earnings are expected to post a 0.2% risein November, while the average workweek is forecast to stay at 34.3 hours. At 1500GMT, factory new orders are expected to fall 1.0% in October on the already-announced 3.3% decline in durable goods orders. Nondurables orders are expected to be up modestly. At the same time, the ISM non-manufacturing index is expected to rise to a reading of 55.0 in November after the October gain.
|remaining time till the new event being published|
All posted material is a marketing communication solely for informational purposes and reliance on this may lead to loss. Past performance is not a reliable indicator of future results. Please read our full disclaimer.