Oil is among the winners following the surprisingly strong unemployment report released by the government on Friday (March 5). Jobless claims and unemployment numbers both came in lower than expected for February according to the Labor Department.
US employers slashed just 36,000 jobs during the month of February compared to a forecast of 50,000. Unemployment held steady at 9.7 per cent compared to analysts predictions of a small increase to 9.8 per cent.
Friday’s data supports recent analyst comments that the economy finally is in recovery with a confirmation of …

The news of a prospective Greek bail-out plan put together by France and Germany may well go some way to soothe investor concerns about a sovereign default in Europe and has gone some way to stabilising the Euro in the short term, especially against sterling which has undergone a torrid last 7 days.

A slow day on currency markets yesterday and overnight has seen the recent volatility of the past few days take a bit of a back seat as the US dollar slips back from its recent highs on firmer commodity prices and some profit-taking ahead of this week’s key note speech by Federal Reserve President Bernanke to Congress on Wednesday.

The Fed made a move Thursday (February 18) to boost the emergency loan rate that it charges banks from .50 per cent to .75 per cent. While the Central Bank says the hike in its “discount” rate is not going to affect consumers, it is widely believed that this is just the first in several moves to return lending rates to normal as the economy improves.

The US Commerce Department reported Friday (February 12) morning that January retail sales grew by .5 per cent, which was higher than the .3 per cent forecasted by analysts. Wal-Mart and other big department stores were seen as the major catalyst for the growth, which suggests a more conventional increase in consumer spending on retail purchases.

The US dollar has started February in the same vein that it finished January, buoyed by evidence of US economic recovery, after Friday’s GDP numbers, and fears that China will implement measures to control its economic growth.

The dollar has grown stronger to start this week, gaining ground against most major currencies and commodities, the Japanese yen, being the prominent exception.