fbpx

PU Prime App

Exclusive deals on mobile

  • Market Insights  >  Weekly Outlook

4 January 2022,01:53

Weekly Outlook

ADP Employment Data Far Exceeds Expectations

4 January 2022, 01:53

Share on:
FacebookLinkedInTwitterShare
Share on:
FacebookLinkedInTwitterShare

On January 5 (Wednesday), the United States announced the December ADP employment data. According to the ADP private payroll numbers for December, 807,000 jobs were added compared to estimates of a figure of 410,000 and the previous value of 534,000, the largest increase since May 2021.

The minutes from the Fed’s December FOMC meeting on Wednesday showed the concerns from Federal Reserve officials about the ongoing supply chain issues which may reach its bottlenecks in 2022, and the labor shortage issues will also continue to hamper the economy and drive up inflation for longer than previously expected.

Brien Lundin, editor of Gold Newsletter said that “The Fed minutes were hawkish, showing greater concerns that inflation would be persistent and generally indicating an accelerated schedule for rate hikes.” On the other side, as tracked by CME Group’s Fed, the possibility that the Fed would raise the interest rates in March for the first time since the pandemic’s onset rose to greater than 70%.

Post Market Outlook

Spot gold fell on Wednesday as U.S. bond yields rose sharply after the release of the minutes of the FOMC meeting. Records indicated that the Fed may need to raise interest rates earlier than expected to curb inflation.

David Meger, director of the metal trading department of High Ridge Futures said that the gold market has fallen from a recent high due to the FOMC meeting, and the rise in U.S. bond yields has put pressure on the gold market. However, the underlying support of the gold market is the ongoing inflationary pressures and pandemic concerns have brought some hedging needs.

In general, the gold price is currently under pressure from the hawkish tone of the Fed pushing ahead the schedule to raise interest rates. In addition, the coming US NFP data may also show a sign of growth, which has caused the gold price to continue to be under pressure on the last two trading days of this week.

In addition, please pay close attention to the Nonfarm Payrolls (NFP) announced on Friday, January 7 at 15:30 (GMT+2). As a friendly reminder, pay close attention to market changes, control your positions, and manage your risk well.

Comience a operar con una ventaja

Opere en forex, índices, Rieles y mucho más con los diferenciales más bajos de la industria y ejecución ultrarrápida.

  • Empiece a operar con depósitos desde tan solo 50 $ en nuestras cuentas estándar.
  • Obtenga acceso a atención al cliente 24/7.
  • Acceda a cientos de instrumentos, herramientas educativas gratis y algunas de las mejores promociones del sector.
Únase ahora

Latest Posts

Apertura de cuenta rápida y sencilla

Crear una cuenta en vivo
  • 1

    Registrarse

    Regístrese para obtener una cuenta en vivo de PU Prime con nuestro sencillo proceso.

  • 2

    Fondo

    Deposite fondos en su cuenta sin esfuerzo con una amplia selección de canales y monedas aceptadas.

  • 3

    Empezar a operar

    Acceda a cientos de instrumentos en condiciones de trading líderes en el mercado.

Please note the Website is intended for individuals residing in jurisdictions where accessing the Website is permitted by law.

Please note that PU Prime and its affiliated entities are neither established nor operating in your home jurisdiction.

By clicking the "Acknowledge" button, you confirm that you are entering this website solely based on your initiative and not as a result of any specific marketing outreach. You wish to obtain information from this website which is provided on reverse solicitation in accordance with the laws of your home jurisdiction.

Thank You for Your Acknowledgement!

Ten en cuenta que el sitio web está destinado a personas que residen en jurisdicciones donde el acceso al sitio web está permitido por la ley.

Ten en cuenta que PU Prime y sus entidades afiliadas no están establecidas ni operan en tu jurisdicción de origen.

Al hacer clic en el botón "Aceptar", confirmas que estás ingresando a este sitio web por tu propia iniciativa y no como resultado de ningún esfuerzo de marketing específico. Deseas obtener información de este sitio web que se proporciona mediante solicitud inversa de acuerdo con las leyes de tu jurisdicción de origen.

Thank You for Your Acknowledgement!