Dollar mostly flat ahead of NFPs

The US dollar has been flat against most of the other major currencies on Friday, with the EURUSD pair changing hands at around 1.2150, the USDJPY pair was spotted near 103.80, and the so-called cable traded near 1.3440.

Later in the day, US non-farm payrolls are due. After a weak ISM manufacturing employment print, deteriorating initial claims data, and Wednesday’s ADP’s big disappointment, the jobs picture is deteriorating fast in America.

The market expects 469,000 new jobs in November, down from 638,000 previously. The unemployment rate is forecast to improve slightly to 6.8%. Volatility should be elevated afterwards, especially if there is a big deviation from the consensus.

From other news, stimulus talks are back in play. The idea of a bipartisan, 908 billion USD coronavirus relief plan is gaining traction in the US Congress. This potential deal was already endorsed by Democrat leaders, House Speaker Nancy Pelosi and Senate Minority Leader Chuck Schumer.

US equities are climbing another day, with the Nasdaq 100 trading at new all-time highs above 12,500 USD, the DOW remaining above 30,000 USD and the SP500 index was inching toward 3,700 USD.

Source: https://www.axiory.com/market-news/dollar-mostly-flat-ahead-of-nfps