Dollar Strikes Back on Stellar NFP Data

Action Insight Mid-Day Report 2-3-23

Dollar Strikes Back on Stellar NFP Data

Dollar rebounds strongly and broadly in early US session after a set of stellar job data that blows past expectations. Stock futures dive on renewed concern that interest rate will stay high for lower while benchmark treasury yield rebounds. The question now is whether the greenback could overwhelm Yen and Swiss Franc to end the week as the best performer.

In Europe, at the time of writing, FTSE is up 0.42%. DAX is down -0.84%. CAC is down -0.28%. Germany 10-year yield is up 0.1081 at 2.188. Earlier in Asia, Nikkei rose 0.39%. Hong Kong HSI dropped -1.36%. China Shanghai SSE dropped -0.68%. Singapore Strait Times rose 0.61%. Japan 10-year JGB yield dropped -0.0094 to 0.490.

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Top Movers | HeatMap | Pivot Points | Pivot Meters | Action Bias | Vol

EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.0854; (P) 1.0943; (R1) 1.1001; More

Focus is now on 1.0800 minor support in EUR/USD with today's extended pull back. Considering bearish divergence condition in 4 hour MACD, firm break of 1.0800 will confirm short term topping at 1.1032. Intraday bias will then be turned back to the downside for 1.0482 support, which is close to 38.2% retracement of 0.9534 to 1.1032.

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EURUSD | USDJPY | GBPUSD | USDCHF | AUDUSD | USDCAD

EURJPY | EURGBP | EURCHF | EURAUD | GBPJPY

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Economic Calendar
GMT Ccy Events Actual Forecast Previous Revised
01:45 CNY Caixin Services PMI Jan 52.9 51.6 48
07:45 EUR France Industrial Output M/M Dec 1.10% 0.20% 2.00%
08:45 EUR Italy Services PMI Jan 51.2 50.9 49.9
08:50 EUR France Services PMI Jan F 49.4 49.2 49.2
08:55 EUR Germany Services PMI Jan F 50.7 50.4 50.4
09:00 EUR Eurozone Services PMI Jan F 50.8 50.7 50.7
09:30 GBP Services PMI Jan F 48.7 48 48
10:00 EUR Eurozone PPI M/M Dec 1.10% -0.40% -1.00%
10:00 EUR Eurozone PPI Y/Y Dec 24.60% 22.50% 27.10% 27.00%
13:30 USD Nonfarm Payrolls Jan 517K 193K 223K 260K
13:30 USD Unemployment Rate Jan 3.40% 3.60% 3.50%
13:30 USD Average Hourly Earnings M/M Jan 0.30% 0.30% 0.30% 0.40%
14:45 USD Services PMI Jan F 46.6 46.6
15:00 USD ISM Services PMI Jan 50.4 49.6