The US dollar finished off last week in a positive manner, thanks to wider worldwide events. These was no economic data to drive the currency’s performance, and so the OPEC meetings regarding the oil market governed currency markets. Given the decision to keep oil output unchanged, the US dollar made gains against most of its partners. This was due to increased speculation that lower oil prices will support the US economy, as the dollar becomes a more attractive haven.
This week has the usual start of monthly releases to affect the dollar markets, starting today with the manufacturing Purchasing Managers’ Index (PMI) from the Institute for Supply Management (ISM). A number of members from the Federal Open Market Committee (FOMC) are also due to speak over today and tomorrow – this includes words from the Federal Reserve Chair Janet Yellen.
Wednesday then holds the independent non-farm employment change figure, as a precursor to Friday’s official figure, before the ISM release their non-manufacturing PMI result amongst some other smaller pieces.
Thursday stays with the labour market, with figures for unemployment claims due, before a trio of significant figures close the week. These are spearheaded by the non-farm employment change, a figure that often results in a significant reaction in the markets. This is supported by the trade balance and the unemployment rate, while the afternoon sees a steady trickle of smaller results and FOMC member speeches to close a busy day.