Breaking: Non-Farm Payrolls beat with 312K, USD jumps

Yohay Elam FXStreet

The US economy gained 312K in December, much better than expected. The Unemployment Rate rose to 3.9%, worse than expected, but it is due to a rise in the participation rate to 63.1%.

Average Hourly Earnings are up 0.4% MoM and 3.2% YoY, better than expected. The greenback reacts positively but stocks turn south as the Fed may be more hawkish on the news.

EUR/USD fell to 1.1363 before bounding, GBP/USD to 1.2650, USD/JPY is around 108.00.

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Here is the move on the euro/dollar chart:

The US was expected to report an increase of 177,000 jobs in December after a disappointing rise of 155K in November (before revisions). The ADP NFP report for the private sector showed a jump of 271,00 positions, lifting expectations for the official Non-Farm Payrolls report. Wages were projected to rise of 0.3% MoM after 0.2% in November, and 3.1% YoY after 3.1% in November.

Fed Chair Jerome Powell speaks at 15:15 GMT alongside his predecessors Janet Yellen and Ben Bernanke.

Author

Yohay Elam

FXStreet

Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.

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