Commerzbank: US Jobs Data Volatility for USD Fades Quickly
Commerzbank analyst Michael Pfister notes that stronger US labour market data only impacts the dollar if it shifts rate-hike expectations, and the resulting volatility tends to fade fast.
USD
Commerzbank's Michael Pfister says the US dollar's reaction to jobs data is transient. A stronger-than-expected labour report only moves the greenback meaningfully if it changes the outlook for Federal Reserve rate hikes.
Pfister argues that the initial volatility from payrolls surprises typically subsides quickly, as markets already price in gradual tightening. Unless the data alters the rate path, the dollar impact is short-lived.
Source: FXStreet Forex News