Pressure is mounting for the US dollar trading on Thursday yesterday which was seen to continue its declining pattern when the latest data was published in the New York session.
The ADP report shows that the increase in private employment in the United States (US) in August was lower than forecast, which was only 99,000.
This gives a poor initial indication for the NFP report that will be published today (Friday) in addition to following the previously gloomy JOLTS reading.
While the ISM survey data for the US service sector did not surprise with the published figures being around the forecast.
The focus is now on the NFP report which will be an important indicator for the Federal Reserve (Fed) which is getting closer to the September edition of the meeting after long awaited by investors.
Questions about the Fed's interest rate cuts remain lingering in the market until early September.
Is the Fed really ready to start their policy easing?
Examining the forecast figures, the increase in employment in the US is expected to recover after the declining figures in the previous month and the unemployment rate is also predicted to decrease.
If the overall reading on the components of the report is encouraging, it is likely that the Fed is still divided on whether to change the existing monetary policy.
But the majority of the market believes interest rate cuts will still happen at the end of this 2024 trade.
But will it start in September? Or delayed again?
