Week Ahead – New Quarter, Same Volatility？

Author – Connor Woods, Senior Market Analyst

Date: October 2nd– October 7th  

Today marks the beginning of Q4, after what has been a rough year so far. Could it be about to get worse for the global economy, or can the situation stabilise？ Make sure you are reading our week ahead article each week to find out all the main talking points.

Non-Farm Payrolls

On the first Friday of every month, the U.S. Department of Labor's Bureau of Labor Statistics releases an employment statistics report from the previous month. This will always be interesting in any climate, particularly in todays one. Within this jobs report, the public has access to pivotal information on wages, job growth, and unemployment.

This report will give traders the chance to see whether the aggressive Federal Reserve hiking is having an effect on the jobs market. Recent reports have shown the job market remains robust. Will the jobs added figure exceed 250,000 this time around？

UK Market Turmoil

Last week, the UK government was scrutinised for its expansionary fiscal policy decision, bringing back trickle-down economics. Recently, the government has U-turned the tax cuts, and the UK market is in danger of breaking.

Watch out for more market volatility this week as the Bank of England and the UK Government try to find some common ground.

OPEC Meeting

On Wednesday, the OPEC and allies will meet in Vienna to discuss output quotas for November. Oil prices have been falling steadily due to the fears of a recession destroying demand prospects. It is expected OPEC will consider cutting output by over 1 million barrels per day.

If this is the case, crude oil prices could go and test the resistance at $90 per barrel, which would be a warning to traders that the oil long trade for 2022 is not over yet.

Everyone at Zenfinex hopes you are having a great trading week. If you would like to know more about the products we offer, feel free to visit https://zenfinex.asia/en/.

Disclaimer:  Trading Foreign Exchange is highly speculative and may not be suitable for all investors. The leverage created by trading on margin can work against you and losses can exceed your entire investment. Only invest with money you can afford to lose and ensure that you fully understand the risks involved.