It feels as though participants are poised for tomorrow’s NFP data, I think it could be just the catalyst the market needs to get some direction. Many analysts believe the data will give us an indication of the overall market sentiment. But, I think it will be what the market digests it and what does after the data that will be key. I believe that due to the willingness of the Fed to ease policy, a weak number could after an initially move put a boost in ‘risk on’ assets. The argument can also be reversed, if the number is really good, will the initial move follow thorough a great deal as participants may think that maybe the Fed don’t need to/won’t ease policy as urgently as everyone expects. This is why I think we could see a reversal after the initial number.
No comments:
Post a Comment