UoM final data marginally above forecasts. USDIDX gains 0.7% 🗽

Final sentiment index by Michigan 79 vs 78.9 in first reading and 78.8 previously

• Current conditions: 81.9 vs 83.5 in the first reading and 83.3 previously
• Expectations: 77.1 vs 76 in the first reading and 75.9 previously

US factory orders: 0.2% vs 0.2% forecast and 2.6% previously

Final durable goods orders: 0% vs 0% in previous reading

Final inflation expectations

• Annual: 2.9% vs 2.9% forecast and 2.9% previously
• 5-year: 2.9% vs 2.8% forecast and 2.8% previously

Michigan's data came out pro-dollar overall, we see a minimal uptick in long-term inflation expectations (2.9% vs 2.8% previously) and higher expectation sentiment readings as well as the final one, with a slight drop in the current assessment. US Dollar Index (USDIDX) contracts are gaining, also after the NFP data dominated selling of 'dovish positions' estimating higher chances of a Fed interest rate cut, at the upcoming 20 March meeting, was one of the moves that followed the release of positive employment data. Now the market is estimating a higher chance of a cut in May, with Bank of America also moving its forecast from March to May (yesterday). President Biden commented on today's NFP reading, adding that it highlights the strength of the US economy.