Wednesday, 2 Sep 2009

Dollar Awaits ADP Non-Farm Employment Change Figures

The U.S. Dollar awaits the publication of the ADP Non-Farm Employment Change figures at 12:15 GMT from the U.S. The release is a key indicator of consumer spending, as it primarily measures job creation. The result is expected to be -250,000, slightly better than previous result of -371,000. This economic news release is expected to be the key driver of forex trading, and trading of the USD's main crosses as the U.S. market opens.

So far today, the GBP/USD cross is virtually unchanged at the 1.6163 level. The greenback is actually trading about 10 pips lower vs. the EUR, following a bearish movement for the EUR/USD cross in yesterday's trading. Against the Japanese currency, the USD/JPY is about 10 pips lower at the 92.65 level, as the pair awaits the release of vital data in the coming hours.

The other release today that is set to determine the levels for the USD and its most traded pairs are the U.S. Factory Orders at 14:00 GMT, Crude Oil Inventories at 14:30 GMT and the FOMC Meeting Minutes at 18:00 GMT. It's important for you to realize that a lower than forecasted inventories result could drive the price of Oil higher, whilst also pushing downward pressure on the USD.