020 7898 0500The US dollar weakened despite positive employment data as investors have started to protect their exposures as we head towards year-end.
The key figure for the week, a figure closely watched by the Federal Reserve, was non-farm payrolls. Jobs increased by 178,000 last month, compared to 142,000 in October. Importantly, the unemployment rate dropped to a more than nine-year low of 4.6%.
These figures, coupled with the upward revision of Gross Domestic Product (GDP) last week, should be enough for the Federal Reserve to go ahead with the signposted rate hike on 14th December.
Looking ahead, there are still some key economic figures that could make the FOMC pause and reconsider their decision. Released today is the ISM non-manufacturing data. This is followed by further readings on the job market on Wednesday and Thursday with job openings and jobless claims data.
On Friday consumer sentiment is due to be released.
For more on currencies and currency risk management strategies, please get in touch with your Smart Currency Business trader on 020 7898 0500 or your Private Client trader on 020 7898 0541.
