USD/SEK scales two-week peak ahead of US jobs test

The USD/SEK currency pair held in proximity to a fresh two-week high of 10.3370 on Wednesday ahead of a string of macro data that may provide more clues over the US interest rate cut trajectory this year.

Today’s focus will likely be on US job openings data. The number of job openings probably fell to 8.100 million in July from 8.184 million in June.

Also, employers in all sectors of the US economy, excluding farming, probably added 163,000 job positions in August, according to market consensus, following a job growth of 114,000 in July. The official Non-Farm Payrolls data will be released on Friday.

Yesterday the Institute for Supply Management published somewhat soft US manufacturing data that raised concerns about a hard landing for the world’s top economy.

Markets are now pricing in about a 38% chance of a 50 basis point Fed rate cut this month, up from 31% a day ago, and a 62% chance of a 25 basis point rate cut.

Meanwhile, in Sweden, survey data showed that services sector growth had slowed in August. The Services PMI came in at a reading of 52.9 in August, down from 53.8 in July.

As of 9:01 GMT on Wednesday the USD/SEK currency pair was edging up 0.43% to trade at 10.3346.