Non-Farm Payroll (NFP) is data on the level of employment in the USA, which is released every month on the first Friday. This statistic is considered very important for forex traders around the world, because it will have an impact on the volatility of the forex market. If the employment data increases compared to the previous month, it means that there is an increase in economic growth and will have a strengthening (positive value) impact on the value of the US Dollar. Conversely, if employment decreases, there will be a weakening of the value of the US dollar.
What is Non-Farm Payroll?
- Thread starter Suba
- Start date
The non-farm payroll includes the industries and manufacturing organisations but it does not include the agriculture and government staff.
Its a big deal for forex traders. The data shows the employment level in the USA and affects the value of the US Dollar. If employment is up that means good news for the economy and a stronger US Dollar. But, if employment decreases, the US Dollar takes a hit.
It is true because it will ascertain the employment rate in the United state of America to calculate the economic stability.
The non-farm payroll is a very interesting news that must be followed by financial investors especially in Forex.
It is one of the data that is used in the United States of America to gauge the economy.
