"Private sector jobs up 237K in Aug"
Non Farm Payroll – Sep 01, 12:30 GMT: The usually high impact Non Farm Payroll (NFP) report will be released on Friday. This report is considered a key US economy report and can trigger sharp market movements.
The increase in private sector jobs was expected to be around the 185K in August, however recent reports suggest that figure is likely to be 237K, this would be the largest increase since March, with a notable increase in the construction and manufacturing sectors. However, some experts suggest that the jobs markets have reached full capacity and we should start seeing decreases in coming months.
Whilst job creation growth is powerful, the market's focus recently has also been on earnings growth which is also a measure of the labor market, potential pressure on prices, and an indicator of the demand for fuel. Currently the figure stands at a steady at 2.5% year-on-year, the growth is expected to rise to 2.6% in August.
Overall, the signals show a strong U.S economy, but the question remains regarding if the Fed feels that the economy can handle another interest rate hike in 2017, or whether it will be delayed to 2018.
Any significant changes in expected data or surprises can cause market volatility and excellent trading opportunities, client's are reminded to have enough equity available to trade the Nonfarm Payrolls safely.
Economic data and political news are major market drivers, so trade with a better insight with the Yadix Economic Calendar: http://www.yadix.com/forex-trading-community/economic-calendar/