Flash: Fed bond buying program unlikely to dissipate anytime soon – Investec

FXstreet.com (New York) - The main news highlight going into the weekend was the US non-farm payroll figures which were released on Friday.

According to Lee McDarby, Corporate Treasury at Investec, “The release is known for having a substantial effect on markets not only because it’s a very important indicator of economic performance in the US, but also because the result is both volatile and difficult to predict. Equities had suffered in the run up to the release as markets worried that a strong figure could lead to the Fed slowing its bond buying program.”

The latest figures showed that 175,000 jobs were added although the unemployment rate edged up slightly to 7.6%. May was the third month in a row that the non-farm payrolls figure was below 200,000 making it unlikely that the Fed will wind in is bond buying program shortly.