ADP Non-Farm Employment and Useful Information before friday which no one speaks

hi,

ADP: 215 thousand.; Expected 173 thousand. Previous reading was revised up from 130 thousand. to 184 thousand.

December 28 expires special aid program in the U.S. for the unemployed. If it is not extended is about 1.3 million unemployed Americans will lose benefits (in the coming months even 800 thousand).!

A large part of the people in this group may simply abandon the search of job and disappear from the workforce. The result? The decline in the unemployment rate by 0.25% to 0.5%! Of course, this does not mean that the economy will benefit, just the way it works statistics.

As for the program itself, it was first introduced during the crisis. Normally, unemployment insurance was granted for 26 weeks, then increased it to 99 weeks. So far benefits have already been issued to 225 billion USD. Last on the program is spent less and less due to the reflection of the U.S. economy.

EURUSD are too high in relation to the spread FRAs depicting expectations for interest rates, but on the other side the FX market is also affected by the bond market. Here, in turn, we see a clear correlation between the difference in interest rates on German and U.S. bonds and the exchange rate of the EURUSD. In contrast to the FRA market, bond market indicates a stabilization EURUSD still at high levels and while every currency pair quotes more aligned with the bond market than the market FRA. Only the correlation change or change in the bond market will be able to affect a different approach to the EURUSD.

This time, without a recommendation, are waiting for tomorrow's ECB chief press conference, and of course U.S. labor market on Friday

regards,

oscarjp