Automatic Data Processing Inc. (ADP) published its non-farm employment change estimate today, showing an expectation of approximately 179,000 new jobs being added to the American private sector in April. The news stunted the US dollar’s mild gains in today’s trading, though results appear mixed.
The EUR/USD halted its recent bearish tick with a flattening out in value near the 1.4800 resistance line. The pair may continue bullish in the near future, though some are hesitant given the disparity in economic data from both sides of the Atlantic. The greenback was able to make some strides against the Japanese yen today, however, with the pair rebounding back up towards 81.20 from yesterday’s low of 80.75.
With the US housing market bullish, and expecting further growth in May, the combination of increased retail sales, consumer confidence and now the buoying jobs market, investors in the US economy are finding more reasons to agree with Fed Chairman Ben Bernanke’s assessment that recovery is well underway.
The news may not help the buck fight against the dollar bears pushing against the currency due to interest rate differentials, but it should gradually bring the US economy back into the good graces of global investors over the next several quarters.
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Greg Holden is the Chief Market Analyst at ForexYard. Greg uses his detailed knowledge of fundamental and technical analysis to provide some of the leading market forecasts in the forex world today. A guest lecturer at forex symposiums and Chief Editor of ForexYard's analysis center, Greg brings highly detailed and easy-to-use market analyses to his clientele. He has been published on ForexYard's Trading Blog and affiliate websites. Greg holds degrees in Political Science and Economics from Missouri State University, as well as a Masters degree in Middle Eastern History.
