Yesterday was extremely slow in the US afternoon and I fear a repeat today.
The stakes are fairly high tomorrow as an employment report that exceeds expectations will further buttress hopes that the US will be able to avoid a double-dip recession. If the data is better than expectations, look for safe-havens like USD, JPY and CHF to bear the brunt of the price action. Commodities currencies are the likely winners with majors like EUR and GBP next in line.
IF the data is appreciable worse than expected, turn the above forecast upside-down…
Reflation plays like AUD and CAD would suffer and the USD, JPY and CHF would be the likely winners.
