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US Non-Farm Payrolls for July 2014

In Market Analysis

The Non-Farm Payrolls statistic is usually released on the first Friday of each month detailing the change in the number of US citizens who are in paid employment, excluding the farming sector.

This figure is the most anticipated macro release of the month for both economists, analysts and traders alike and the combination of it’s importance and earliness makes for hefty market impacts.

Job creation is an important indicator of consumer spending, which accounts for a majority of overall economic activity and is commonly known as the best indication of how the the most powerful financial economy in the World is faring, this in due course has a knock on effect worldwide.

These US employment figures are released this afternoon at 13:30 BST and the mean estimate for this month from the street is coming in at 231k; this signifies a big reduction on last months figure of 288k.

Over the last month or so we have seen a mixture of macro data coming out, especially from Europe which has resulted in European indices hit hard. On the FX front the USD has strengthened across the board seeing both Cable – GBPUSD:

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& the EURUSD breaking out of their long term upward trends:

 

EURUSD-0108

 

 

Taking everything into consideration, the figures this afternoon could prove to be very interesting; weak US employment figures could spark a change in the recent US dollar surge but this is yet to be seen, what do you think will happen?

Please feel free to send your comments or estimates to 888 markets on Twitter, Facebook or LinkedIn and for all you traders out there, mind your eye; if you are thinking of holding existing or opening new positions over Non-Farm Payrolls (NFP) as we will surly see big volatility across the board in stocks and currencies alike.