LONDON, September 2, 2011 /PRNewswire/ --
City Index (http://www.cityindex.co.uk/), a leader in spread betting, CFD trading and margined foreign exchange, is offering one point spreads on Wall Street and Euro/Dollar - two of the markets historically affected by the nonfarm payrolls data due for release at 1:30pm on Friday 2nd September.
Looking ahead to Friday's report and its potential market ramifications, Joshua Raymond, Chief Market Strategist of City Index, stated: "If the nonfarm payrolls miss general consensus and the US unemployment rate continues to rise, this could apply even more pressure on the Fed to start QE3."
"What's more the market is optimistic that, despite Ben Bernanke's refusal to commit to QE at Jackson Hole, the extension of the FOMC meeting in September from one to two days is a sign that this could be the moment when QE is much more readily considered, with the extra time used to re-align the fragmentation of the FOMC after three members dissented in the last meeting."
"That said, a stronger reading could dash hopes for QE whilst also helping to show signs of a strengthening US labour market, which considering that consumer spending is responsible for roughly 70% of US activity, could calm fears of a sharp slowdown in US growth. Either way, it is shaping up to be a very interesting and potentially volatile trading session on Friday."
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SOURCE City Index