The SPX 500 sits about flat from yesterday’s close on the S&P 500 (as of 7:45am). Today’s big event will be the release of US NFP’s at 8:30am.
The forecast is for 160k, but we have seen a lot of predictions lowered to the 130k range after Wednesday’s disappointing ADP figures.
We should see major volatility at the release. The big question is whether the market will take the figure as bearish or bullish and if there will be follow-through. A less than expected figure could mean the economy could be slowing and this could mean more stimulus later down the road (bad for USD). There has been a lot of debate if the Fed will maintain their low interest rate policy and if more QE is actually still on the table.
The EUR/USD is sitting at 1.3127, but still in a medium consolidation. Until there is a confirmed break below 1.2975 we could remain in consolidation.
