What to expect from NPF and today's major data that is essential for Fed

Today at 3:30pm an employment in the private sector of the US (NFP) data is expected. According to most analysts the expected value is 190 000 new jobs, as better data will have a positive impact on the dollar which will support the Fed to increase interest rates this month.

Some of the big banks like Goldman Sachs, Morgan Stanley and UBS raised its forecast expectations to 215 000. The attitudes are quite positive as the likelihood of better data is great because usually most companies prefer to hire workers in January than in December due to Christmas and New Year holidays.

However, another factor may cause the Fed to delay rates hike. Today the NFP data as well as some very important data is expected such as: Unemployment rate and hourly wage. The last time the Fed pays particular attention to the hourly pay that if came out worse than expected could slow the increase in interest rates this month.

But if the data on the US economy out positive, then the Fed has no reason to postpone the increase in interest rates and we can expect a strong positive sentiment in the dollar and a sharp upward impulse.

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