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The number of weekly unemployment claims dropped to 343K. IT was expected to remain almost unchanged and stand at 345K after last month’s 348K (revised up from 346K). Trade balance was expected to show a similar deficit like last month’s 40.3 billion. However, the US trade deficit rose to 45 billion dollars. While the trade deficit is disappointing, the market’s focus is on jobs figures – job figures of any sort.  

The drop in continuing claims is better than expected: 2.933 million instead of 2.953 expected. Last week’s number was 2.987, so this is not only another week under 3 million, but also a significant drop.

Update:  ISM Non-Manufacturing PMI 52.2, but employment component leaps to 54.7

USD/JPY was stronger at 99.65 and EUR/USD was surprisingly strong as well after the good ADP number. After this most recent publication, EUR/USD is sliding a bit to 1.2968 and USD/JPY continues higher, to 99.73.

The ADP report for the private sector showed a solid gain of 188K jobs in June, better than expected. Jobless claims are usually released on Thursday, but tomorrow is the US Independence Day. So, today is quite a busy day in terms of indicators, while tomorrow’s rate decisions in the UK and in the euro-zone will come on top of low liquidity.

There is another significant figure awaiting us today: the ISM Non-Manufacturing PMI (services) at 14:00 GMT. This is the biggest sector in the US.

See how to trade the ISM Non-Manufacturing PMI with USD/JPY.

More: Join a free webinar: Hot summer in currency trading – begins today at 15:00.