Today, investors will probabily be sitting on the edge of their seats in anticipation of the US employment report for December. Expectations are for a strong report, which could lift further the probability for a March hike by the Fed. Eurozone CPIs and Canada’s jobs report could attract extra attention as well.
The Spotlight falls on the US Employment Report
The dollar traded lower once again, against all but one of the other G10 currencies, reversing the gains it posted yesterday. Even the better than expected ADP employment report was not enough to support to the greenback. The only currency that underperformed against the dollar was the yen. The market seems to have been in a risk-on mode, with equity indices rallying across the globe. Given the yen's safe-haven status, this may be the reason behind its weakness.
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