Oil prices on Friday, October 8, grew up. The reason for the increase of quotations were weak labor market data in the United States that strengthened investors' expectations about what the Fed will begin a second round of monetary incentives. Additional support to the market of raw materials had a dollar.
Following the auction on October 8 at New York Mercantile Exchange futures price for WTI crude oil for November delivery rose 0.99 dollars - up to 82.66 dollars per barrel. At the InterContinental Exchange in London November delivery of Brent price increased by 0.6 dollars, closing at 84.03 dollars per barrel.
Number of jobs in the U.S. non-farm sector (non-farm payrolls) fell in September by 95 thousand units. This was reported on Friday the U.S. Labor Department (US Department of Labor). Thus, the indicator, the output of which is expected with great impatience, again did not meet analysts' forecasts. According to the latest estimates, reduction of the indicator last month was up only 5 thousand. The number of jobs in the private sector, according to experts' forecasts, would grow by 75 thousand units, while the actual magnitude of increase was significantly less - 64 thousand
However, the growth rate of employment in the private sector has been blocked a massive reduction in jobs in the public sector (at 159 thousand), where most of the decline occurred because of layoffs of workers temporarily employed for the census. However, despite the fall in, U.S. unemployment remained at the same level - 9,6%.
Report of the Ministry of Labor has reinforced expectations of analysts and market participants about the fact that the Fed will take further steps to support the U.S. economy. "Overall, the September employment report was weaker than market expectations, supporting the arguments in favor of monetary incentives", - noted in this connection, analysts Societe Generale. Similar opinion is shared by experts Commerzbank. "Friday the report clears the way for the Fed further measures to stimulate the economy", - underlined the bank's economists.
Against this background, continued downward movement of the dollar, which also supported the oil market. On Friday, U.S. dollar exchange rate fell against the yen to a 15-year low a day after losing 0.3% and amounted to 82.15 yen to the dollar. Output data on employment initially caused significant weakening of U.S. currency against the euro (by 0,7%), but later drop the single currency has helped the dollar recover the position. As a result of its exchange rate remained virtually unchanged, amounting to 1.3915 dollars per euro.
