Video

#SaxoStrats
​The Trump administration has not yet formally deployed the long-awaited latest $200 billion in tariffs against China, but a new Wall Street Journal report indicates that Japan might be next on the agenda.
Squawk / 09 March 2018 at 13:42 GMT
Head of FX Strategy / Saxo Bank
Denmark
US Jobs Report boosts the old Goldilocks narrative. The US jobs report was a head-scratcher for traders after the January data. Most importantly, the average hourly earnings number came in lower than expected (0.1% MoM and +2.6% YoY and Jan. data revised down slightly to 2.8% YoY), making it difficult to argue that the Fed needs to panic and busy themselves yanking the rate hike lever to stave off a wage-price spiral. At the same time, the payrolls growth was very strong at +313k vs. +205k expected and a +54k revision to the prior two months' data on top of that. As well, the household survey was very strong, as the participation rate rose +0.3% to match the high of the range of last three years, while the Unemployment rate was steady at 4.1%.

The USD may not do much if US rates stay flat, on the other hand this is very strong payrolls data and certainly will help lead to a confident Fed hike and forward guidance at the March FOMC meeting. I generally see this as USD supportive.
1y
IL IL
I just wonder, if unemployment rate is unchanged, how could they create more jobs????
1y
IL IL
maybe one person take more than on job at the time to support a living because of the low wages?
1y
IL IL
...more than one job...
1y
John J Hardy John J Hardy
It is about the "participation rate" - if it goes up, that means more people have joined the labor force - and if more people are in labor force with the same percentage of that labor force working means more total jobs in the economy.
1y
IL IL
thanks :-)
1y
FXTØR FXTØR
Or maybe +/- 100.000 is too little to make diff. look clearer like 0.1 %
1y
Hansi Hansi
Hvordan kan det så være at jeres økonom Steen Jakobsen er meget negativ på USD og du ser det her som positivt. ? Ret forvirrende med så forskellige holdninger fra samme bank?
Tak på forhånd.

Disclaimer

The Saxo Bank Group entities each provide execution-only service and access to Tradingfloor.com permitting a person to view and/or use content available on or via the website is not intended to and does not change or expand on this. Such access and use are at all times subject to (i) The Terms of Use; (ii) Full Disclaimer; (iii) The Risk Warning; (iv) the Rules of Engagement and (v) Notices applying to Tradingfloor.com and/or its content in addition (where relevant) to the terms governing the use of hyperlinks on the website of a member of the Saxo Bank Group by which access to Tradingfloor.com is gained. Such content is therefore provided as no more than information. In particular no advice is intended to be provided or to be relied on as provided nor endorsed by any Saxo Bank Group entity; nor is it to be construed as solicitation or an incentive provided to subscribe for or sell or purchase any financial instrument. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. As such no Saxo Bank Group entity will have or be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available on Tradingfloor.com or as a result of the use of the Tradingfloor.com. Orders given and trades effected are deemed intended to be given or effected for the account of the customer with the Saxo Bank Group entity operating in the jurisdiction in which the customer resides and/or with whom the customer opened and maintains his/her trading account. When trading through Tradingfloor.com your contracting Saxo Bank Group entity will be the counterparty to any trading entered into by you. Tradingfloor.com does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of ourtrading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication under relevant laws. Please read our disclaimers:
- Notification on Non-Independent Invetment Research
- Full disclaimer

Check your inbox for a mail from us to fully activate your profile. No mail? Have us re-send your verification mail