The ADP Non-Farm Employment Change fell by 693,000 jobs! This devastating number was far more than a drop of 495,000 that was expected.
Following this bad news, the dollar fell against most currencies: EUR/USD at 3701, GBP/USD crossed the 1.50 mark and is now at 1.51, USD/CHF under 1.10 at 1.0924 and USD/JPY at 92.65. All quotes are at the moment of writing.
Despite being the “minor” unemployment figure related to Friday’s Non Farm Payrolls, such a big fall shocked the market, which is still on the move.
This ADP Non-Farm Employment data indicates that the American economy is in even a worse condition than known up to now. The tool of lowering interest rates has been exhausted. Printing money, also knows as Quantitative Easing is what’s left for the Federal Reserve to fight recession.