A fine end to the week for the dollar following the release of the non-farm payrolls data. The figure had been expected to come in at 180,000 but it actually posted a reading of 200,000 and the dollar strengthened shortly afterwards. It made some significant gains against sterling to reverse a recent trend, but where will it go from here? It is anybody’s guess right now, but certainly something to keep your eyes on.
Today we have non-manufacturing PMI and the balance of trade for December tomorrow. Thursday sees the release of the initial jobless claims up to 3 February 2018 which are expected to hold steady at 230,000. Any improvement on that could support the dollar.
It has been a pretty volatile start to the year and the dollar surge on Friday really does help demonstrate how important risk management strategies can be to your business. Locking in a favourable price protects you against this volatility. We cannot emphasise this point enough!
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