FxWirePro: Forex Daily Update

The US dollar index lost its shine ahead of the US NFP data. The US economy is expected to add 198000 jobs in February. The unemployment rate to be steady at 3.7%. It hit a low of 102.72 and is currently trading around 102.82.

The number of people who have filed for unemployment benefits came steady at 21700  in early Mar, compared to a forecast of 217000.

According to the CME Fed watch tool, the probability of a no-rate cut in  Mar decreased to 95% from 96% a week ago.

 The US 10-year yields declined more than 6% in hopes of an early rate cut.  The US 10 and 2-year spread narrowed to -41.40% from -53%.

Major resistance- 104.25/105

Major support- 103/102.

Economic data for the day

Mar 8th, 2024, US Non-farm payroll    (1:30 pm GMT)

         EURUSD-

EURUSD jumped more than 1.0950 after the ECB monetary policy. The central bank has kept its rates unchanged as expected. It hints at a rate cut in June on easing inflation data.

Major resistance-1.09500,1.100

Major support- 1.0850,1.0760

Yen-

The yen lost its momentum and hit a fresh five-week low ahead of US NFP. Any break below 148 confirms minor bearishness.

Major Resistance- 150,151

Major support- 148,146.50

Canadian Dollar

The Canadian dollar showed a minor jump ahead of Canadian employment data. Canadian building permits surged 14% over a month to $10.8 billion in Jan 2024.   

Resistance- 1.3480,1.3550

Major support- 1.3435,1.3380