One of the most significant data releases in the calendar will arrive tomorrow when the US release their latest job creation data. The Non-farm payroll data release is the number of new US jobs created that month outside of the agricultural industry. This data is considered as one of the main indicators for the health of the US economy, with big numbers strengthening the US Dollar and low readings doing the opposite. There is always a prediction from analysts but so often the expectation and the reality are a long way from each other, which can create major volatility.

Along with Non-farm payroll data there will also be Unemployment data for September, however there isn’t expected to be any change from the last 4.4% reading. Average hourly earnings are expected to also remain the same so I wouldn’t be surprised if there was a strengthening for the US Dollar.

US Federal Reserve speeches yesterday

Yesterday Janet Yellen and several other members of the Federal Open Market Committee spoke. There was optimism of an interest rate hike coming at the end of the year and it’s likely it will start to be priced into the US Dollar, which could drive the GBP/USD rate down to 1.30.

Theresa May says she will remain as Prime Minister

Prime Minister Theresa May today released a statement suggesting she will not resign and is planning to stay on. After a difficult speech yesterday at the end of the Conservative party conference there were whispers that Mrs May should step down. The release today did however cause Sterling to drop as Theresa May is a known to be an advocate of a hard Brexit. If Mrs May was to resign and a new Prime Minister appointed, they may choose to move away from the idea of a hard Brexit. That may create optimism for the currency market, providing Sterling with a welcome boost.