The US economy gained no less than 222K jobs in June, better than expected. However, wages rise by only 0.2% and with a downwards revision.
The US dollar initiall rose but is now falling.
The US was expected to report a gain of around 180K jobs in June, with an unemployment rate of 4.3%. More importantly, wages carried expectations of 0.3% m/m after 0.2% last time. Y/y, wages rose by 2.5%, stuck.
June 2017 NFP Data (updated)
Non-Farm Payrolls: TBA (exp. +175K last 138K before revisions)
Average Hourly Earnings TBA (exp. +0.3% m/m, 2.6% y/y, last month 0.2% m/m, 2.5% y/y)
Revisions: TBA (-66K last time).
Participation Rate: TBA (62.7% last month )
Unemployment Rate: TBA (exp.4.3%, last month 4.3%)
Private Sector: TBA (ADP showed 158K).
Real Unemployment Rate (U-6): TBA (previous: 8.6%).
Employment to population ratio: TBA (previous: 60%)
Average workweek: TBA (last month: 34.4).
NFP Currency Reaction
EUR/USD traded around 1.1420, helped by the upbeat ECB minutes.
GBP/USD was under 1.29 after weak UK data: trade, manufacturing, and housing all disappointed in the UK.
USD/JPY continued riding higher along the uptrend support level, around 113.70.
USD/CAD traded around 1.2980, bouncing higher as oil prices slipped once again. Canada releases its own jobs report at the same time.
AUD/USD is around 0.76. The RBA hit the Aussie earlier this week.
NFP Background
Indicators leading into the event were mixed: while soft data such as the ISM surveys were upbeat, ADP data was weak and all in all, inflation is weaker.
