The US Dollar has edged higher since this morning’s trading session, following a move from the administration to cut financial regulations first introduced in 2008. Dodd-Frank was put in place to protect consumers during the financial crisis, the move will allow banks more control over what products and services they can offer clients.
The President will need to go through lawmakers which will likely take months to complete.
A big day for the US Dollar
Non-farm payrolls and unemployment rates are due within the hour, with expectations for 175,000 new roles created since December. Unemployment rates are anticipated to remain steady at 4.7%. Given Trump’s promise to bring back jobs and reduce business regulations there is huge scope for US Dollar strength, especially as markets wait patiently for the next FED hike this year.
Strong figures this afternoon will add further support on the US Dollar, with a raft of PMI data and factory orders due later on. With the US economy showing clear signs of growth I envisage GBP/USD pushing lower to 1.24 by the end of today’s trading session.