The Non-Farm payroll release is always one of the most key events in a month, well, from a markets stand point at least! And this months figures giving insight into the condition of the US labour market n July did not disappoint. Overall, 187,000 new jobs were added, below trend but don't let that mislead you.
The overall figure was below that 200k key psychological level yes, but the US already had a very low 3.6% unemployment rate, that also fell to 3.5%. At a certain point an economy simply runs out of people to perform new jobs and that's likely to happen if unemployment is still at a 1969 low.
Wage growth remained stubborn, unchanged at 4.4% average hourly wage growth YoY, suggesting that the US jobs market remains to be a, if not the, most aggressive and unresolved aspect of US inflation.)
In terms of its impact on the Fed, the release was to middling to change any minds, the jobs figure is down, but so is unemployment, to a multi-decade low. Wage growth is high and resilient, but officials will want to wait for the full inflation release on Thursday before committing to a position.
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Rates correct as of 7:30am GMT
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