What Is the Impact and Effect of NFP News
What Is the Impact and Effect of NFP News
The Non-Farm Payroll (NFP) report is one of the most powerful economic news events in the forex market. Released monthly by the U.S. Bureau of Labor Statistics, it reflects the total number of paid U.S. workers, excluding farm employees, government workers, and employees of non-profit organizations.
The NFP report gives insight into the health of the U.S. economy
What Is NFP in Simple Terms
NFP (Non-Farm Payroll) is a U.S. employment report released on the first Friday of every month at 8:30 AM EST (New York time).
It includes:
- The number of jobs added or lost
- The unemployment rate
- Wage growth data (average hourly earnings)
Since the U.S. dollar is the most traded currency in the world, any strong or weak labor data has a direct impact on USD pairs.
How NFP Affects the Market After Release
During and after the NFP release, the markets can become:
Highly volatile – Pairs like EUR/USD, GBP/USD, USD/JPY, and commodities like gold (XAU/USD) often experience major moves.
Unpredictable – Prices may spike in one direction and quickly reverse.
A better-than-expected NFP usually strengthens the USD, as it indicates a strong economy.
A weaker report may cause the USD to fall due to economic growth concerns.
Where to Track Upcoming NFP and Other News?
Trader can easily track upcoming NFP releases and other major economic events on News platforms like Investing.com and TradingView under their economic calendar sections. upcoming 2 May 2025
NFP can be a goldmine for opportunities — or a disaster for the unprepared.
NFP can offer golden opportunities for informed and disciplined traders. While it brings massive volatility, it also presents the potential for high profits — if you know How to manage trading risk.
