February US NFP: Downside risks particularly from defense sector jobs - Mark De La Paz

Automatic spending cuts, which came into effect last weekend, can already weigh on the US February jobs numbers, suggests Mark De La Paz, Instructor at FX Instructor.

“For the February employment situation report we face downside risks particularly from defense sector jobs,” the analyst believes, adding however that the real impact of the sequester will be felt in March “when cuts could translate to unforeseen private job losses and less spending by American consumers.”

Mark De La Paz pedicts that the US labor market grew by 120K in February.