The U.S Employment Situation Report was released on Friday . Details of the economic release: 1. NFP 311K - above consensus estimate of 205K and following a revision to January number to 504K from 517K. E mployment gains in December and January combined were 34,000 lower than previously reported 2. Participation Rate moved higher to 62.50% from previous 62.40% 3. Unemployment Rate moved higher to 3.6% from decadal lows of 3.40% 4. Average hourly Earnings (AHE) rose 0.24% mom with the pace of monthly rise decreasing from previous 0.27% The report showed strength and the softening in momentum of rise in AHE. However, the Employment Report coincided with the news of the closure of the Silicon Valley Bank (SVB). SVB is the 16th largest bank in the United States and the largest bank by deposits in Silicon Valley. The pace at which the whole situation unravelled in mindboggling. Closure of SVB Bank comes in quick succession to the closure of Silvergate Bank. SVB had $...
The specific focus of the Blog is on Global and Domestic interest rates and currencies market. I look at fundamentals to define my bias and corroborate that with a study of price action to put on high conviction trades. The views and opinions are those of author and author alone. ~ Author: Vaishali Bagchi