. US Stats:
September non-farm payrolls +136K vs +145K expected
Prior was +130K (revised to +168K) Estimates ranged from 85K to 185KTwo month net revision +45KUnemployment rate 3.5% vs 3.7% expected (prior 3.7%) -- 50-year low Participation rate 63.2% vs 63.2% exp (63.2% prior)Avg hourly earnings 0.0% m/m vs +0.2% expAvg hourly earnings 2.9% y/y vs +3.2% exp -- lowest since July 2018 Prior avg hourly earnings 3.2%Avg weekly hours 34.4 vs 34.4 expPrivate payrolls +114K vs +130K expManufacturing -2K vs +3K expectedU6 underemployment 6.9% vs 7.2% priorTemporary census hiring totaled 1K
This is a great report for risk assets and solid for the US dollar. The number was close to expectations but wage data was soft, suggesting slower inflation.
The combination of the headline and revisions shows that the economy is in fine shape and the drop in unemployment is positive. The major US stock indices are opening up with solid gains after the "goldilocks" jobs report showed some strength with little wage inflation.
The EURUSD moved higher and lower on the release. The low price reached 1.0956 so far. The 1.0964-67 area is a swing area going back to September 23 (was support), September 26 (was resistance). Yesterday and earlier today, the price used the level to deflect off at times.
. European parliament president has rejected UK Brexit proposal.
Up and Coming
. Trump's impeachment is far from over and Trump is really digging his hole with his comments!
. Hong Kong invoked emergency powers for the first time in more than half a century to ban protesters from wearing face masks. However, protests don't really accept that and will gather tomorrow with masks! Be prepared for some news on Monday.
. All eyes will be on the Federal Reserve in the wake of the payrolls data, so look out for comments today from Boston Fed President Eric Rosengren, Federal Reserve Bank of Atlanta President Raphael Bostic -- and of course Chairman Jerome Powell who opens a Fed event.
The main question here is: Is the Fed going to cut rates in December? The wolf is positive about this.