Market movers today
The key event today will be the US employment report , where all focus will be on the wage growth component. The increase in hourly earnings jumped to 2.9% y/y in January from 2.7% y/y in December, stirring inflation fears and causing a jump in US yields. Today, we look for a small decline in hourly earnings to 2.8% y/y (consensus 2.9%), which would likely give a relief in markets and dampen the US inflation fears. The unemployment rate and payrolls will also be in focus. We look for an unchanged unemployment rate at 4.1% (consensus 4.0%) but broadly agree with consensus on payrolls to be around 200k.
The Fed' s Evans (non-voter, dovish) is due to speak in a CNBC interview shortly after the employment report. This is one of the last chances ahead of the Fed's blackout period starting on Saturday.
In Europe, industrial production is due in both Germany and the UK.
In the Scandies, Norwegian CPI will be in focus. Sweden is due to release average house prices and household consumption data.
To read the entire report Please click on the pdf File Below: