12 Jan 2015
Market Movers: Continued decline in US LMCI points towards labour market slack – Danske
FXStreet (Barcelona) - The Danske Bank Research Team highlights the key events in this week, noting that the continued decline in US LMCI suggests that there remains a considerable slack in the labour market despite strong NFP gains and declining unemployment rate.
Key Quotes
“In the US the Fed will release its Labour Market Conditions Index (LMCI) for December based on data from Friday's labour market report. According to the LMCI indicator the improvement in the labour market slowed in both October and November and in November improved at its slowest pace since January 2014. Hence, the continued decline in LMCI suggests that there remains considerable slack in the labour market despite strong payroll gains and continued decline in the unemployment rate.”
“A couple of central bank speeches in the calendar. Atlanta Fed president Dennis Lockhart (voter, neutral) will speak about the US economic outlook at 18:40 CET. At 19:00 CET ECB governing council member Ewald Nowotny will speak about 2015 monetary policy in Vienna.”
“The most important events this week are the EU Court of Justice's non-binding ruling on the legality of ECB's OMT-programme on Wednesday and retail sales and consumer prices in the US on Wednesday and Friday, respectively.”
Key Quotes
“In the US the Fed will release its Labour Market Conditions Index (LMCI) for December based on data from Friday's labour market report. According to the LMCI indicator the improvement in the labour market slowed in both October and November and in November improved at its slowest pace since January 2014. Hence, the continued decline in LMCI suggests that there remains considerable slack in the labour market despite strong payroll gains and continued decline in the unemployment rate.”
“A couple of central bank speeches in the calendar. Atlanta Fed president Dennis Lockhart (voter, neutral) will speak about the US economic outlook at 18:40 CET. At 19:00 CET ECB governing council member Ewald Nowotny will speak about 2015 monetary policy in Vienna.”
“The most important events this week are the EU Court of Justice's non-binding ruling on the legality of ECB's OMT-programme on Wednesday and retail sales and consumer prices in the US on Wednesday and Friday, respectively.”