By FX Empire.com
Crude oil prices rebounded to the upside on Wednesday, as the U.S. dollar fell against major currencies after the ADP employment change report showed the U.S. private sector added 110,000 jobs in October, above median estimates of 100K jobs, which spread optimism in markets and provided crude oil prices with bullish momentum. The gains though were limited after the EIA report showed crude oil stockpiles increased last week by 1.8 million barrels, above median estimates of 1.0 million barrels.
Moreover, the FOMC left the benchmark interest rates unchanged as they finished a two-day meeting on Wednesday, where the FOMC also left the current monetary policy unchanged in line with median estimates.
Traders will be eyeing the jobless claims and ISM services from the United States on Thursday. Nonetheless, the main focus will turn to Europe, as the European Central Bank will announce its decision on interest rates, as the ECB is expected to leave the benchmark interest rates unchanged at 1.50%
Thursday November 03:
The United States will start the day at 12:30 GMT with the nonfarm productivity for the third quarter in a preliminary reading, which is expected to expand by 2.5% from the prior drop of 0.7%. In addition, the unit labor costs for the same period is expected to drop by 0.4% from the previous expansion of 3.3%.
The United States will also provide markets with the initial jobless claims (October 28), which was 402 thousand in last week.
At 12:45 GMT the European Central Bank will announce interest rates, which is expected unchanged at 1.50%.
At 14:00 GMT the United States will release the ISM non-manufacturing composite for October, which could have improved to 54.0 from 53.0.
Moreover, the United States will release the factory orders index for September, with expectations for 0.1% further drop from the previous 0.2%.
