Key facts
- US dollar is lower against EUR, GBP, JPY, and CAD.
- US and Canadian May employment reports are due at 8:30 AM ET.
- US Non-Farm Payrolls are expected to be 85K, down from 115K prior.
- US Average Hourly Earnings (YoY) are expected to be 3.4%.
- Canadian employment change is expected to be +10.0K.
- US yields are modestly lower; US stocks are mixed pre-market.
The US dollar has weakened against major currencies including the Euro, Pound Sterling, Japanese Yen, and Canadian Dollar ahead of key employment data releases. Technical analysis is being applied to currency pairs such as EUR/USD, USD/JPY, and GBP/USD. US Treasury yields are modestly lower, while US stock futures indicate a mixed opening, with the Dow Jones Industrial Average higher and the Nasdaq Composite under pressure. Crude oil prices are down $0.14 to $92.88, gold is down $6.80 (-0.14%), and silver is down $1.08 (-1.3%). Bitcoin reached a new cycle low of $61,073 before trading up at $61,928. At 8:30 AM ET, both the US and Canada will release their May employment reports. The US Non-Farm Payrolls are expected to come in at +85K, a decrease from the prior +115K, with Average Hourly Earnings expected to rise 0.3% MoM and 3.4% YoY. Canada's employment change is anticipated to be +10.0K, a rebound from the prior -17.7K, with an expected unemployment rate of 6.9%. Markets will be watching for signs of slowing job growth in the US, persistent wage growth, and a rebound in Canada's labor market, which could influence Federal Reserve and Bank of Canada interest rate policy. Meanwhile, geopolitical tensions persist, with Israel continuing strikes in Lebanon despite a US-brokered ceasefire, which Hezbollah has rejected. President Trump has warned Iran about resuming military action and indicated openness to meeting with Iran's new supreme leader.