US Dollar Surges on 266,000 New Jobs in November

The US dollar is soaring to close out the trading week, buoyed by a terrific November jobs report that suggested the labor market is strong. For months, it had been stated that the jobs market was resilient but following this report, analysts could make the case that it is a force to be reckoned with.

According to the Bureau of Labor Statistics (BLS), the US economy added 266,000 jobs in November, beating market forecasts of 175,000. The unemployment edged lower to 3.5%. The government also revised its increase in new jobs in October from 128,000 to 156,000.
Government payrolls ballooned 12,000 and manufacturing payrolls soared 54,000. Average hourly earnings jumped seven cents, or, 0.2% to a 12-month rate of 3.1% and average weekly hours remained unchanged at 34.4 hours.
On Wednesday, payroll processor ADP reported that private-sector employment growth slowed in November to 67,000 new jobs. This is an important metric because it is supposed to offer a glimpse into what the US government will be publishing in its monthly jobs report.
This comes after October factory orders rose 0.3%, up from a 0.8% decline in September. Factory orders ex transportation also edged up 0.2% in October, up from a 0.3% slide in the previous month.
On the trade front, the US trade deficit slumped to an 18-month low at $47.2 billion in October as imports dipped 1.7% to $254.3 billion and exports fell 0.2% to $207.1 billion. In total, the US trade deficit clocked in at $520.1 billion in the first 10 months of 2019, compared to $513 billion during the same time last year.
The US Dollar Index spiked 0.2% to 97.60, from an opening of 97.38.
The USD/CAD currency pair soared 0.5% to 1.3242, from an opening of 1.3175, at 12:38 GMT on Friday. The EUR/USD fell 0.26% to 1.1077, from an opening of 1.1106.

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Original from: www.earnforex.com