Stocks fell yesterday, Thursday, ahead of a key jobs report that could influence the Federal Reserve’s decision on interest rates.
Analysts expect the economy added 205,000 jobs last month, down from January’s reading of 517,000. Friday’s jobs report and next week’s inflation data come just before the Fed’s meeting this month.
The basic scenario: If the report came out stronger than expected, this will give a strong boost to the dollar index because it will confirm that the economy is strong enough to withstand stronger rate hikes, and vice versa. If the report came out weak, the dollar index may decline.
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