America roundup: Dollar retreats as US jobs fade, Wall Street ends week lower, gold rises, oil climbs ahead of OPEC+ meeting next week , September 3, 2022

Market overview:

• Solid employment growth in the United States in August, but slackening of the labor market

• Gazprom: Nord Stream 1 gas to remain closed until turbine fault is resolved, no timetable given

• US oil and gas rig count drops for 4th week in 5 – Baker Hughes

• Iran says it is sending “constructive” response to nuclear deal; The United States disagrees

• Labor productivity in Canada (QoQ) (Q2) 0.2%, previous -0.5%

• US unemployment rate in August U6 7.0%, previous 6.7%

• US August Average Hourly Earnings (Yearly) (Yearly) 5.2%, 5.3% forecast, 5.2% previous

• US unemployment rate in August 3.7%, forecast 3.5%, 3.5% previous

• US August nonfarm payrolls 315,000, forecast 300,000, previous 528,000

• US August private nonfarm payrolls 308,000, 300,000 forecast, 471,000 previous

• US August (monthly) average hourly earnings 0.3%, 0.4% forecast, 0.5% previous

• US August manufacturing payrolls 22,000, forecast 20,000, previous 30,000

• US August Average Weekly Hours: 34.5 forecast 34.6, previous 34.6

• US factory orders in July excluding transport (monthly) -1.1%, previous 1.4%

• US non-defense durable goods (MoM) 1.1%, previous 1.2%

• US Jul Factory Orders (MoM) -1.0%, forecast 0.2%, previous 2.0%

• The American oil platform Baker Hughes has 596,605

• US Baker Hughes Total Rig Count 760, previous 765

Future Outlook – Economic Data (GMT)

• No data forthcoming

Future Outlook – Economic Events and Other Releases (GMT)

• No significant event

Currency summaries

EUR/USD: The euro initially gained against the dollar on Friday, but lost ground as investors digested mixed jobs data, while renewed concerns over Europe’s gas crisis weighed on the market. ‘euro. Data showed on Friday that U.S. employers hired more workers than expected in August, but moderate wage growth and a rise in the unemployment rate to 3.7% suggest there may be less pressure on the Reserve. federal government to offer a third interest rate of 75 basis points. hike this month. The news that Russia has waived a Saturday deadline to resume flows via a major gas supply route to Germany, compounding Europe’s difficulties in obtaining fuel for the winter, has further worsened sentiment in the United States ahead of the Labor Day long weekend. Immediate resistance can be seen at 0.9992 (5DMA), a break up can trigger a rise towards 1.0024 (daily high). On the downside, immediate support is seen at 0.9922 (23.6% fib), a break below could take the pair towards 0.9831 (BB ​​lower).

GBP/USD: The pound fell on Friday as concerns over the UK’s deteriorating economic outlook, political stance under a new prime minister and demand for dollars all hurt the UK currency. The pound is on track for a weekly decline of almost 1.5% against the dollar, and next week could also be volatile as the new British Prime Minister will be announced on Monday, when the race for the leadership of the ruling Conservative Party. The pound fell 0.24% against the dollar to $1.1516, on track to end the week down around 1.9%. Immediate resistance can be seen at 1.1608(5DMA), a break up can trigger a rise towards 1.1689(9DMA). On the downside, immediate support is seen at 1.1496(23.6% fib), a break below could take the pair towards 1.1465(BB low).

USD/CAD: The Canadian dollar strengthened against its U.S. counterpart on Friday amid a rally in crude prices, while the dollar retreated on mixed U.S. jobs data . The U.S. economy added 315,000 jobs in August, the data showed, beating the consensus forecast of 300,000 jobs by economists surveyed and marking the 20th straight month of job growth. The dollar index, which tracks the currency against six peers, zigzagged after the report, in tight trade ahead of North America’s Labor Day long weekend. The loonie last traded up 0.23% at 1.3124 against the greenback. Immediate resistance can be seen at 1.3163 (23.6% fib), a break up can trigger a rise towards 1.3189 (BB upper). On the downside, immediate support is seen at 1.3084 (38.2% fib), a break below could take the pair towards 1.3043(9DMA).

USD/JPY: The dollar retreated from a 24-year high against the yen on Friday after data that showed the US labor market was starting to ease did not allay investor fears of aggressive price hikes. Federal Reserve interest rate. Nonfarm payrolls increased by 315,000 jobs last month, from 526,000 in July, the Labor Department said. The unemployment rate rose to 3.7% from a pre-pandemic low of 3.5% in July. Economists had forecast the payroll to rise by 300,000. Estimates ranged from 75,000 to 450,000. Softer data is seen as easing the need for the Fed to raise rates to aggressively curb inflation, measures which, according to market concerns, could lead to a recession. The dollar, a beneficiary of rising interest rates, hit a new 24-year high against the yen at 140.80. By midday in New York, the yen was back at 140.18. A strong resistance can be seen at 140.80 (38.2% fib), a break up can trigger a rise towards 150.00 (psychological level). On the downside, immediate support is seen at 139.40 (5DMA), a break below could take the pair towards 138.90 (38.2%fib).

Summary of actions

European stocks closed on a strong note, ending a long losing streak, after data showing a rising unemployment rate in the United States helped ease concerns about aggressive monetary tightening from the Federal Reserve.

Britain’s benchmark FTSE 100 closed up 1.86%, Germany’s Dax ended the day up 3.33%, France’s CAC ended the day up 2.21%.

U.S. stocks ended the trading week on a bearish note on Friday as early gains from a jobs report that showed a labor market may be starting to ease gave way to worries about the global crisis. gas in Europe.

The Dow Jones closed 1.07%, the S&P 500 closed 1.07%, the Nasdaq stabilized 1.31%.

Summary of treasury bills

Yields on short-term US Treasuries fell from multi-year highs on Friday after a closely watched jobs report showed unemployment rising and job growth slowing in August.

The two-year US Treasury yield, which generally moves in line with interest rate expectations, fell 4 basis points to 3.482% after hitting 15-year highs the previous day.

The 10-year Treasury yield rose 1.7 basis points to 3.282%, a day after hitting two-month intraday highs, while the 30-year Treasury yield rose 3 basis points. basis at 3.404%.

Summary of raw materials

Gold rebounded more than 1% on Friday as the dollar retreated after U.S. jobs data mostly came in line with expectations, but was still tied for a third straight weekly decline under pressure of a high interest rate environment.

Spot gold rose 0.8% to $1,710.29 an ounce at 1:45 p.m. ET (1745 GMT). Prices were still down 1.5% for the week. US gold futures rose 0.8% to $1,722.6.

Oil prices rose on Friday on expectations that OPEC+ will discuss production cuts at a Sept. 5 meeting, though concerns over China’s COVID-19 restrictions and weak global global economy hover in the market.

Brent crude futures rose 66 cents to settle at $93.02 a barrel, while U.S. West Texas Intermediate (WTI) crude futures rose 26 cents to settle at $93.02 a barrel. $86.87 per barrel.

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