A week with no market movers

25 December, 2017

A week with no market movers

Analysts from Danske Bank, expect the labour market report for December to be strong, due partly to some catch-up effects from previous months while they will look into the FOMC minutes for clues as to whether other members other than Charles Evans and Neel Kashkari came close to dissenting.

Key Quotes: 

“In the US, the coming week brings no market movers. The week after New Year’s Eve, however, brings several interesting releases.”

“On Wednesday, ISM manufacturing for December and FOMC minutes from the December FOMC meeting are due for release. As the statement from the meeting was broadly unchanged, we also expect the minutes to reveal no significant news, but we look out for clues as to whether other than Evans and Kashkari were close to dissenting.”

“The gap between ISM and manufacturing has started narrowing and we expect this to continue. We estimate ISM fell slightly to 57.7 in December. Friday brings the labour market report for December.”

“We expect a relatively strong labour market report (compared to previous months’ reports), due partly to some catch-up effects from previous months. Although trend jobs growth has fallen to around 175,000, PMIs point to jobs growth above 200,000. We estimate non-farm payrolls increased 185,000 with the service sector as the main contributor. Furthermore, we estimate average hourly earnings increased 0.3% m/m (2.5% y/y versus 2.5% y/y in November) and an unchanged unemployment rate at 4.1%.”

Source link  
Strong market sentiment continues

Chief Analyst, Allan von Mehren at Danske Bank suggests that global market sentiment continues to be strong with further decent increases in stock...

Buy the rumour, sell the fact

It’s an action-packed week for global markets with a deluge of G20 central bank meetings and key economic data releases to contemplate ahead of...

EUR futures: within range so far

In light of advanced data from CME Group, open interest in EUR futures markets rose by 750 contracts on Wednesday vs. Tuesday...

Fed expected to tighten QE

We expect the Fed to maintain the Fed funds target range at 1.00-1.25% at this week’s meeting, in line with consensus and market pricing...

It's not realistic to expect a major increase in oil prices

There is a tremendous amount of stock in the markets and to expect...

CAD may regain ground vs. rest of commodity bloc

Research Team at Lloyds Bank, suggests that they expects a 10k increase in Canadian employment in December following November’s downside surprise, while the unemployment rate should hold steady at 7.1%...

US likely to print strong PMI data

Kit Juckes, Research Analyst at Societe Generale, expects the US PMI to post strong numbers which will result in keeping the September rate hike expectations alive...

EUR/USD slips back to 1.3750

Despite retracing part of the initial gains, spot