USD posted the best performing month since November 2016, and market now eyeing on the nonfarm payrolls

USD rose to a peak on Wednesday, posting its biggest monthly rise since November 2016. Over the course of June, USD has gained about 3% against its major counterparts, supported by the hawkish shift from the Fed and promising economic data. The earlier released ADP payrolls showed that, 692k jobs have been added in June, versus the revised figure of 886k in May. Despite the decline, the number has beaten the forecast at 600k. Data have also shown that % of people quitting their jobs is on the rise, which to some degree reflects the robustness of the job market.

Australia has a similar situation. Job vacancies have hit record in May, with a lot of businesses having difficulties finding workers. As the economy recovers, 22% of the companies have at least one vacancy. Probably due to this shortage of labor supply, AUD has been weakening against both USD and NZD.