USD/CHF clings to small gains above parity, eyes on NFP

• US Dollar Index stays calm near 97.30.
• Markets expect NFP to increase by 180K in the US.
• Wall Street set to open the day flat.

The USD/CHF pair took advantage of the risk-positive atmosphere and the broad-based USD strength on Thursday to close the day near the critical parity mark. Although the pair seems to be struggling to push higher on Friday, it clings to small gains at 1.0005 ahead of the employment data from the United States.

The 10-year T-bond yield, which staged a technical correction yesterday continued this week's rally on Friday and was last seen adding more than 1% on a daily basis, helping the pair float in the positive territory. 

On the other hand, the US Dollar Index is staying close to yesterday's closing level of 97.30 as investors are getting ready for the March nonfarm payrolls figures released by the U.S. Bureau of Labor Statistics. 

“The March jobs data, if realised, would put job numbers back near the three month average of 186k. Whilst jobs momentum gives a good proxy of underlying growth in the economy, fixed income markets will be keenly watching the average hourly earnings print.” ANZ analysts said. “Hourly earnings jumped to 3.4% y/y in February, its highest level since April 2009; and if that were to rise further, inflation concerns would inevitably resurface. The unemployment rate is seen steady at 3.8%.”

• US NFP Preview: 10 Major Banks expectations from March payrollsreport.