Despite a huge shortfall in U.S. nonprofit payroll, where the state added 235,000 jobs in August, compared to 733,000, most shares are Wall Street finished a week higher. Technologically difficult Nasdaq 100 ahead S&P 500 and the more cyclically sensitive Dow Jones. Expectations that the Fed may not tighten this month boosted growth. Meanwhile in Japan,. Nikkei 225 soared after Japanese Prime Minister Suga announced his resignation plan, opening the door to new leadership, calling for more stimulus.
With that in mind, it was another terrible week US dollar as it was worse against almost all G10 currencies. The rise in market sentiment supported the growth-related Australian and New Zealand dollars. The Euro also received an offer after euro area inflation data surprised higher at the beginning of last week.
Turning to commodities such as precious metals gold and silver also shone against the background of the weaker US dollar. XAU /USD the target was the highest closure since mid-June. XAG / USD rose to almost one-month high. Iron ore prices continue to push, blurring Chinese demand still at stake. Natural gas prices rose, remaining close to all-time highs.
Looking at the coming week, then Australian dollar, Euro and Canadian dollar prepare for central bank interest rate decisions. The Reserve Bank of Australia (RBA), the European Central Bank (ECB) and the Bank of Canada (BoC) are under way. Different economic situations may change between them AUD / USD, EUR / USD and USD / CAD.
Financial markets are offline in the United States on weekdays during the public holidays. This could create illiquid trading conditions at the beginning of the week. Looking at future key economic data, GDP in the euro area and the United Kingdom is in the table. China publishes its latest inflation report, while Canada provides its latest labor market data. What else awaits the markets ahead?
US DOLLAR WEEK RESULT AGAINST VALUES AND GOLD
The US dollar sank after huge non-agricultural payroll reversed the Fed’s reduced stakes. Front, RBA, ECB and BoC rate decisions can cause AUD / USD, EUR / USD and USD / CAD volatility.
Investors are considering a narrowing timeline as NFP the data are disappointing.
The cryptocurrency market continues to expand and prices are generally rising, with potential weekend volatility ahead.
Poor NFP job data and a weaker dollar helped raise gold prices on Friday. Let’s take a look at next week to see if this move is likely to gain momentum
GBP / USD has weakened recently due to the US dollar and if Sterling does not find its catalyst, it may be difficult for the couple to reap more benefits.
Last week, successive European Central Bank hawks announced that they wanted to tighten monetary policy, but this week they will get over the pigeons and the policy will remain exactly where it is today.
The USD / CAD may further lose its expectations next week that the weakening US labor market will make the Federal Reserve more patient before withdrawing policy options.
The Australian dollar is waiting for the RBA to clarify the timing of the reduction in the midst of various commodity prices and after the US non-agricultural wage bill. Can the AUD / USD rally last?
It was another tough week for the USD, but a big support zone came to keep the weekend low.
FTSE 100 eye psychological resistance, the S&P 500 trend is your friend
Gold prices rose above the lowest level in August by more than 9%, where the rally now highlighted a major resistance barrier after the NFPs. Levels that are significant on the XAU / USD weekly chart.
The Australian dollar is facing a real level of trade relative to the US dollar, euro and British pound after a strong week for the Australian dollar.