Employment data will grab the spot light today, as the U.S is scheduled to release its closely watched NFP and unemployment rate.
This time round the numbers should be quite interesting as analysts have now revised their prior expectations of a positive figure to a negative one. Recent climate conditions have driven major storms into the U.S region, neutralizing many workers and causing companies to hold back on production and/or recruitment.
Due to that fact, analysts have revised their numbers and are now expecting the NFP result to come out at -40k. The unemployment figure is expected to rise to a whopping 9.8%.
Even though expectations don’t look good, parts of the employment sector are improving. When comparing the employment figures to those of a couple of months ago, one can see that the situation has dramatically improved. Back in 2009 the NFP result hit a -673k figure. Since then NFP has flipped-sided, recently posting only a -20k figure. Furthermore recent figures have shown that temporary jobs growth is now steadying out, while the Federal government has added approximately 33k jobs. January’s report shows that the job market is slowly stabilizing.
On the Forex market the EUR/USD should present some interesting movement tomorrow, especially after the gloomy ADP figure released on Wednesday. The ADP is often observed by traders as it can hint towards the NFP result. The ADP disappointed economists and came out at -20k vs. an expected -10k. If the NFP result comes out worse than expected tomorrow, the recent rush into riskier assets could be short-lived, as investors will probably head back into safer assets. 
A Positive Stock Session Yesterday Will it Continue?The U.S stock market session presented a lackluster first half, but managed to finish with gains. The S&P500 finished the session with a 0.37% gain while the Nasdaq closed up by 0.51 percent. Most investors prepared for what is going to be another hectic Friday.
The leading sector of the day was financials, while Health Care continued to weigh on the S&P500 due to Pfizer. The stock pulled down the sector after dropping by roughly 2% on Wednesday. The decline was due to a report showing that experimental Alzheimer’s disease treatment Dimebon, which Pfizer was developing with Medivation Inc., failed to show effectiveness in a late stage study.
From a technical point of view the S&P500 is trading above its recent break out level. Even though one would expect the stock to test its prior high, today’s result could flip-side the situation, especially as the NFP is known to be a major mover.
For an individual chart analysis including trend lines, see Dodjit’s chart analysis page.
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