Daily Morning Report 02.06.2017

The dollar was steady Friday after some upbeat U.S. data with the focus on a key job report later in the session.

U.S. manufacturing activity beat estimates as did the ADP survey of job creation in May.

Eyes now turn to official nonfarm payroll data, which are expected to show U.S. economy created 185,000 jobs in May.

Analysts believe it would take a disastrous figure to sway the Fed away from raising rates this month.

The markets odds of a rate hike this month currently stand at 88%.

But the tightening path after June remains unclear with the jury out on the Trump administration’s ability to deliver on economic pledges.

The dollar was up 0.22% at 111.61 yen.

The euro was firm above $1.12 after solid euro-zone manufacturing activity figures for May.

Elsewhere, GBP was slightly lower but held above $1.28 ahead of the U.K. general election on June 8.