What will happen to the U.S. dollar after the labour market data release?

<p>U.S. new hires are expected to rise by
150,000 jobs in September, and unemployment is likely to fall to 3.7.%, which
could help the Fed continue to keep interest rates on pause.</p><p>The U.S. is expected to add 150,000 jobs
and bring unemployment down to 3.7.% in September.</p><p>The better labour market situation will
give a reason for the U.S. Fed to be hawkish. In that case, the main upside
target for USDJPY is 150.00–152.00.</p><p>The U.S. Labour Department is expected to
report on Friday that the U.S. added 150,000 jobs in September, according to
economists polled by Reuters, down from 187,000 added in August. They also
expect the unemployment rate to fall from 3.8 per cent in August to 3.7 per
cent in September.</p><p>This data will be an essential part of the
Fed's settlement as it assesses the current state of the U.S. economy and the
appropriate course of monetary policy. An improving labour market will give the
U.S. Fed a reason to be hawkish, while a decline in new jobs will suggest that
the U.S. labour market is not strong enough, prompting the central bank to be
more dovish in its decisions and statements.</p><p>'According to
the August data, the labour market is returning to normal with a gain of
187,000 jobs, and this trend is likely to continue in September,' said Kar Yong
Ang, the Octa financial market analyst. 'Such an improvement in the U.S. labour
market will support the U.S. dollar,' he added.</p><p>The Fed's recent announcement that interest
rates will remain ‘high for longer’ has rattled global markets, adding strength
to the U.S. dollar. It may strengthen even more if the U.S. labour market
forecast is confirmed. For the currency market players, this may mean that
USDJPY is likely to continue rising, breaking through the critical resistance
level of 150.00. The main target is 150.00–152.00.</p><p><a href="https://www.octafx.com/?utm_source=media&amp;utm_medium=PR&amp;utm_campaign=USdollarlabourmarket&amp;utm_id=USdollarlabourmarket">Octa</a> is an international broker that has been
providing online trading services worldwide since 2011. It offers
commission-free access to financial markets and various services already
utilised by clients from 180 countries with more than 42 million trading
accounts. Free educational webinars, articles, and analytical tools they
provide help clients reach their investment goals.</p><p>The
company is involved in a comprehensive network of charitable and humanitarian
initiatives, including the improvement of educational infrastructure and
short-notice relief projects supporting local communities.</p><p>Octa
has also won more than 60 awards since its foundation, including the ‘Best
Educational Broker 2023' award from Global Forex Awards and the ‘Best Global
Broker Asia 2022' award from International Business Magazine. </p>

This article was written by FM Contributors at www.financemagnates.com.