Dollar surges after US payrolls blast past expectations
Updates throughout with US jobs data at 1250 GMT
By Amanda Cooper
LONDON, Oct 4 (Reuters) -The dollar soared on Friday after data showed the U.S. economy added far more jobs than expected in September, quashing expectations for another jumbo rate cut from the Federal Reserve and soothing some concern about the outlook for growth.
The U.S. Bureau of Labor Statistics said 254,000 workers were added to nonfarm payrolls last month, well above the 140,000 economists had expected, while August's number was upwardly revised to 159,000, from an original 142,000.
The dollar was set for its biggest one-day gain against a basket of major currencies in four months, rising 0.6% on the day, as government bond yields rose and traders ditched their bets that the Fed will cut rates by half a point next month.
"Overall, though, despite the much stronger than expected figures, this report is unlikely to materially alter the FOMC's policy outlook," Pepperstone market strategist Michael Brown said.
"For sentiment, the forceful 'Fed put' should see the path of least resistance continuing to lead higher for equities over the medium-run, though conviction in the short-term could well be somewhat lacking, owing to ongoing geopolitical risks in the Middle East," he said.
Investor sentiment has been jittery this week, as flaring tensions in the Middle East raise the risk of serious disruptions to global crude supply, setting crude oil prices on course for their biggest weekly gain in two years.
U.S. President Joe Biden said on Thursday that the U.S. was discussing strikes on Iran's oil facilities, when asked whether he would support Israel's strikes in retaliation for Tehran's missile attack on Israel.
Biden's comments sparked a surge in oil prices, which had already been on the rise this week.
Brent crude futures LCOc1 rose as much as 1.8% earlier on Friday, retreating after the payrolls report in the face of the stronger dollar to $78.09 a barrel, up 0.6% on the day. U.S. futures CLc1 were up 0.6% at $74.20.
U.S. stock futures ESc1, NQc1 rallied sharply, up between 0.7% and 1%. The data has lowered the chances of a big equities-friendly rate cut next month, but it also served to reassure investors over the resilience of the world's largest economy.
"Today’s data hit a grand slam with payrolls coming in strong, positive revisions, and unemployment falling. The economy is heading into the post-season solidly. This is a beat on every aspect and the Fed must be smiling as they got their bats out!" Lindsay Rosner, head of multi-sector investing, Goldman Sachs Asset Management, said.
A slew of data releases this week had already pointed to a U.S. economy still in solid shape.
With the prospect of a big November cut from the Fed now off the table, gold prices tumbled. Spot gold XAU=, which has vaulted to record highs around $2,700 an ounce, dropped 0.4% to $2,645.
The Japanese yen JPY=EBS bore the brunt of the dollar buying, weakening after the jobs numbers to leave the U.S. currency up 0.9% at 148.365.
The yen had already been under pressure from more dovishness from Tokyo officials this week. New Prime Minister Shigeru Ishiba said this week that economic conditions in the country were not ripe for more rate hikes by the Bank of Japan (BOJ), reversing the hawkish tone he struck prior to his election victory.
The euro EUR=EBS, meanwhile fell 0.6% to $1.0966, having hit two-month lows, while the pound GBP=D3 fell 0.3% to $1.3092, surrendering earlier gains made after Bank of England chief economist Huw Pill said high interest rates were not a key reason for weakness in British business investment.
Oil price wary amid prospects of war escalation https://reut.rs/3zM4k0O
Additional reporting by Rae Wee in Singapore and Davide Barbuscia in New York; Editing by Jacqueline Wong, Andrew Heavens, Chizu Nomiyama and Hugh Lawson
免責聲明: XM Group提供線上交易平台的登入和執行服務，允許個人查看和/或使用網站所提供的內容，但不進行任何更改或擴展其服務和訪問權限，並受以下條款與條例約束：（i）條款與條例；（ii）風險提示；（iii）完全免責聲明。網站內部所提供的所有資訊，僅限於一般資訊用途。請注意，我們所有的線上交易平台內容並不構成，也不被視為進入金融市場交易的邀約或邀請 。金融市場交易會對您的投資帶來重大風險。
所有缐上交易平台所發佈的資料，僅適用於教育/資訊類用途，不包含也不應被視爲適用於金融、投資稅或交易相關諮詢和建議，或是交易價格紀錄，或是任何金融商品或非應邀途徑的金融相關優惠的交易邀約或邀請。
本網站的所有XM和第三方所提供的内容，包括意見、新聞、研究、分析、價格其他資訊和第三方網站鏈接，皆爲‘按原狀’，並作爲一般市場評論所提供，而非投資建議。請理解和接受，所有被歸類為投資研究範圍的相關内容，並非爲了促進投資研究獨立性，而根據法律要求所編寫，而是被視爲符合營銷傳播相關法律與法規所編寫的内容。請確保您已詳讀並完全理解我們的非獨立投資研究提示和風險提示資訊，相關詳情請點擊 這裡查看。
