Dollar Dips Mildly after Poor ADP Job Data
Action Insight Daily Report 6-2-22

Dollar Dips Mildly after Poor ADP Job Data

Dollar weakens mildly further after worse than expected ADP job data. But selloff is limited as traders are probably cautious ahead of tomorrow's non-farm payrolls. But overall, Yen remains the worst performing one for the week. Sterling and Euro are the next weakest even though both are trying to recover some ground. Australian Dollar is staying in pole position, leading other commodity currencies higher.

Technically, while Gold's retreat from 1869.46 was slightly deeper than expected, near term bullishness is restored by the quick rebound. Focus would be at 1869.46 resistance for the rest of the week. Firm break there will resume the rebound from 1786.65 towards channel resistance (now at 1912.89). If happens, that could be an early signal to return to selloff in Dollar.

In Europe, UK is on holiday. At the time of writing, DAX is up 0.79%. CAC is up 1.21%. Germany 10-year yield is up 0.010 at 1.198. Earlier in Asia, Nikkei dropped -0.16%. Hong Kong HSI dropped -1.00%. China Shanghai SSE rose 0.42%. Singapore Strait Times dropped -0.53%. Japan 10-year JGB yield rose 0.0093 to 0.245.

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

GBP/USD Mid-Day Outlook

Daily Pivots: (S1) 1.2424; (P) 1.2520; (R1) 1.2582; More...

Intraday bias in GBP/USD remains neutral and outlook is unchanged. On the upside, above 1.2666 will resume the rebound from 1.2154. Sustained of 55 day EMA (now at 1.2729) will target 1.2999 support turned resistance. On the downside, though, break of 1.2457 minor support will turn bias back to the downside for retesting 1.2154 low instead.

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EURJPY | EURGBP | EURCHF | EURAUD | GBPJPY

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Economic Calendar
GMT Ccy Events Actual Forecast Previous Revised
22:45 NZD Terms of Trade Index Q1 0.50% 1.30% -1.00% -0.90%
23:50 JPY Monetary Base Y/Y May 4.60% 2.30% 6.60%
01:30 AUD Trade Balance (AUD) Apr 10.50B 9.02B 9.31B 9.74B
06:30 CHF CPI M/M May 0.70% 0.30% 0.40%
06:30 CHF CPI Y/Y May 2.90% 2.60% 2.50%
09:00 EUR Eurozone PPI M/M Apr 1.20% 2.30% 5.30%
09:00 EUR Eurozone PPI Y/Y Apr 37.20% 38.60% 36.80% 36.90%
11:30 USD Challenger Job Cuts Y/Y May -15.80% 6.00%
12:15 USD ADP Employment Change May 128K 280K 247K 202K
12:30 USD Initial Jobless Claims (May 27) 200K 205K 210K 211K
12:30 USD Nonfarm Productivity Q1 -7.30% -7.50% -7.50%
12:30 USD Unit Labor Costs Q1 12.60% 11.60% 11.60%
12:30 CAD Building Permits M/M Apr -0.60% 0.50% -9.30% -6.30%
14:00 USD Factory Orders M/M Apr 0.80% 2.20%
14:30 USD Natural Gas Storage 86B 80B
15:00 USD Crude Oil Inventories -3.0M -1.0M