The Weekly Wrap – Monetary Policy and a Busy Economic Calendar Delivered Dollar Support

0
20

Out of the U.S

In the first half of the week, private sector PMI and ADP nonfarm employment change figures were in focus.

The stats were skewed to the positive.

In October, the ISM Manufacturing PMI slipped from 61.1 to 60.8, while the Non-Manufacturing PMI rose from 61.9 to 66.7.

According to the ADP, nonfarm payrolls increased by 571k in October, following a 523k rise in September.

On Thursday, jobless claims were also positive. In the week ending 29th October, initial jobless claims fell from 283k to 269k.

At the end of the week, nonfarm payrolls delivered further market support. In October, nonfarm payrolls increased by 531k after a 312k rise in September.

As a result, the unemployment rate fell from 4.8% to 4.6%.

While the stats were upbeat, the FED’s monetary policy decision was the main event of the week.

In line with market expectations, the FED delivered on tapering, while playing down any shift in interest rate policy. FED Chair Powell…

Read more…