Yesterday, data showed the ADP private payrolls increased by 978,000 in May, way above forecasts of 650,000; weekly initial jobless claims fell below 400,000 for the first time since the start of the pandemic; and the ISM services survey index rose to 64 in May, the highest on record, up from 62.7 in April.
Later today, the US non-farm payrolls number is expected to increase by 650,000, although the official number might be a lot higher. The unemployment rate should improve from 6.1% to 5.9%.
The same data will be released from Canada as well - the Canadian economy is forecast to lose 20,000 jobs in May, while the unemployment rate should worsen to 8.2%. That should be bullish for the USDCAD pair.
The US dollar accelerated higher yesterday, and the EURUSD pair managed to break below a steep uptrend line, ending the short-term bullish trend. The USDJPY pair advanced above 110, and as long as the greenback trades above that mark, the short-term outlook might be bullish.
Dollar strength undermined precious metals, with silver falling 3% and gold 2% on Thursday, both metals ending their short-term uptrends for now.