BBH - The forces driving FX market unaltered by US employment data

BBH - "The January nonfarm payrolls 157k increase was in line with expectations, but the back month revisions were worth another 127k and average hourly earnings rose 0.2% a bit more than expected. The risk in the unemployment rate to 7.9% from 7.8% reflects two things--the participation rate and the incorporation of new census data.
The revisions mean that the economy created a net 196k jobs in December and 247k in November.
(...) The forces that are driving the fx market--the passive tightening of euro area monetary conditions, some evidence that the regional economy is recovering, couple with the weak Japanese data and the Abe government commitment to aggressive monetary and fiscal stimulus are unaltered by the US employment data. This means the euro is likely headed higher and about $1.3700, short-term operators look for $1.3800-30. The dollar slipped a bit against the yen, but look for the JPY91.60-80 level to hold."

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